Compiling a comprehensive estate plan has many potential upsides. Creating a will or a trust that keeps beneficiaries from dealing with Michigan interstate laws might make things less stressful and more productive for survivors. Crafting other elements of an estate plan, such as power of attorney documents, a living will, or designating transfer on death accounts, could also be helpful. Leaving estate plans locked in stone, however, may lead to regrets. Therefore, checking the estate plan periodically seems advisable.
Checking estate plans
Drawing estate plans and leaving them intact for years could create problems. An estate may grow exponentially or retract based on financial circumstances. In these situations, revisiting and revising the plans could be necessary. Additions to the family may prompt an estate planner to add the relatives as beneficiaries.
Other decisions might include changing persons listed as executors or POA agents. Not making such changes could prove problematic if an incompetent person maintains authority. Be mindful that legal and valid documents remain in effect unless changes are made.
Additional notes about estate plan changes
Other factors may affect estate planning. For example, changes in the law could impact rules and regulations impacting a business and may alter decisions about leaving a business to specific beneficiaries. Reviewing estate plans and issues that prompt revisions might help address such concerns.
Performing an annual review of the estate plans could result in valuable revisions. However, it may be wise to revisit the estate plans whenever something critical occurs that might affect them. Waiting months after adopting a child or inheriting a lot of money might be too long. Acting promptly is advisable.