Many people in Nevada know that it is important to create an estate plan so that wishes as to asset distribution are known after a person’s death. However, what many do not realize is that it is just as important to review the existing estate plan periodically as it is to create an estate planning portfolio. This is true due to the fact that life changes may create the need for different planning tools.
Many in Nevada have a trust in place as a part of their estate plan. Without a periodic review of the assets included in the trust, some property may be outside of its scope at the time of a death. This is often the case when a property is removed from the trust as a part of refinancing and is not replaced.
In addition to the review needed when new property is acquired or a refinanced, it may also be needed when life events change wishes. Life events such as marriage, divorce, or a new child is born into a family can affect beneficiary wishes. A trust may be in place that can be altered to put in place provisions for a spouse or child in the event of death. Included in this is the appointment of guardians for children in the event of death of both parents. For marriage or divorce, beneficiary wishes will likely change, and it is important to ensure that the correct information is on policies and accounts, as well as in the estate plan.
There are many reasons why Nevada residents should review their estate planning documents. The review of estate planning documents will help to ensure that all wishes as to asset distribution, and any changes made, will be reflected in the necessary documents. It may be beneficial for those reviewing their estate plan to seek the advice of an experienced advocate who can help them ensure that their wishes and assets are legally protected, and everything is in place.
Source: Forbes, “5 Life Events That Require An Estate Planning Review,” Michael Chamberlain, Aug. 13, 2012