Your life in Indiana has probably changed significantly over the years. New family members have arrived while others left, your income fluctuated, and you acquired new assets. When major life changes happen, it’s important to alter your estate plan.
Here are four key moments when your estate plan should be updated:
#1: You have a new child
It’s important to update your will every time you have a child, no matter your age or net worth. You can list a caregiver for your minor children in your will just in case anything happens to you and your spouse. If you have valuable assets, you may also need to add a new beneficiary to your will when you have a child.
#2: You get married or divorced
Many married couples prepare their estate plans together, so marriage and divorce are two life changes that should trigger a will update. You may also need to update the beneficiary designations on your financial accounts.
#3: Your estate executor or a beneficiary dies
The executor of your estate is the person that you select to distribute your assets to beneficiaries according to your wishes. If that person dies, it is vital that you update your will with a new executor. You should also update your estate plan anytime a beneficiary listed in your will dies.
#4: You acquire real estate
You should update your will anytime you acquire a significant asset like a house or property. If your income increases or you receive a windfall, this may also be a good time to reevaluate your estate plan.
Review your estate plan periodically
Even if there are no major changes in your life, estate planning advisors usually recommend reviewing your documents every three to five years unless there is a major life event.