So you’ve established an Estate Plan. Good for you! However, you still have to ensure that the strategy you’ve selected will maximize your peace of mind and protect your legacy.
Estate plans are living, breathing creations. Your life can and will change due to new births, children getting older and other shifts in the family; changes to your portfolio, career and business; and changes to your health, where you live and your core values. Likewise, external events, such as tax legislation passed in your state or the development of a novel financial instrument, can throw your plan off track or open the door to opportunities.
You want to make sure you review your plan every couple years. The following “stress test” will help you quickly assess whether you need to update your plan:
- When was the last time you updated your Will or Living Trust? Since then, have you had new children or gotten divorced? Have you moved to a new state, opened or sold a business, or just changed your mind about the type of legacy you want to leave behind?
- Who have you named as executor and trustee? If you had to start planning from scratch today, would you still make the same decisions?
- Do you have adequate insurance? Many people do not have enough insurance for themselves or their businesses. They also fail to name contingent beneficiaries. Get your insurance policies in order.
- How much of your property is jointly owned with someone other than your spouse? Jointly owned property has the potential to be double taxed. Take a look at your real property and seek advice on the proper adjustments to make in order to save on taxes when it’s really necessary to save on taxes.
- How’s your record keeping? Poor record keeping makes an executor/trustee’s work ten times harder.
- When was the last time you gave your plan a thorough once-over? If it’s been over five years since an Estate Planning attorney prepared or updated your plan, it is time to get it checked!
If you are from the Chicagoland Suburbs (Orland Park, Oak Lawn, Chicago Ridge, Mt. Greenwood, Beverly, Tinley Park, Worth, Palos Park, Palos Heights, Palos Hills, Hickory Hills or Evergreen Park), call Kerlin Walsh Law today at 708.448.5169! We would love to help you make sure that your Estate Plan is up-to-date and prepared properly! We look forward to welcoming you into our client family!
