Many Las Vegas residents know that it is typically important to create an estate plan for the benefit of children and other heirs. Plans vary, as there are no two estates that are identical, though in many circumstances those engaged in estate planning are motivated to ensure that they are taking care of their children or grandchildren. To that end, these folks may consider wills, trusts and other estate planning tools.
Once an estate plan is established, a Las Vegas resident may largely forget about it and go on with their lives, thinking that they took care of all estate issues. However, authorities caution that it is important to review estate plans periodically in order to make sure that they continue to adequately reflect the person's wishes. This review is especially required when family situations change, including children, marriages, divorces and deaths.
It is said that there are five key mistakes often made by those who have created an estate plan. These include failing to review documents, failure to adjust plans for changing family situations and ignoring the need to create appropriate trusts. Failure to update the schedule of assets or monitor changes in estate planning law are also considered potentially dangerous estate planning errors.
When a person who has created an estate plan fails to include newly acquired assets into an already-established trust, there may be higher costs to heirs. This is due to the likelihood that probate may be required for the new asset. Additionally, changes to estate tax laws may occur, including the potential decrease in the estate tax exemption amount, and if the exemption is reduced as currently planned for the end of 2012, the effect may cost heirs significantly when a little forward thinking during estate planning may have solved the problem. All Las Vegas residents who have estate plans may do well to consider reviewing and updating them on a regular basis to ensure that they reflect current thinking and are in sync with existing laws.
Source: LifeHealthPro, "5 Important Steps to Update Estate Plans," Michael S. Fischer, April 9, 2012