The process of estate planning is essential for the protection of assets and beneficiaries. Most people consider it a job-well-done if they have taken the steps necessary to say they have tackled their estate planning needs. However, Nevada residents should realize that estate planning isn’t a one-shot deal and needs to be addressed more than once.
For those who have a great deal of wealth or assets, the size and contents of an estate may change dramatically over the course of a few years. An older estate plan that doesn’t address those changes can easily lead to disputes among beneficiaries. It is important to note that adjustments to an estate plan are the best ways to avoid those types of disputes.
Updates to an estate plan should be handled if there is a significant life change also. Some examples that may lead to the need to revisit an estate plan may be if there is a divorce or a change in family dynamics. Also, addressing the changing tax code every few years will help ensure that an estate plan is accurate and in the best interests of all of the parties affected.
No two estate plans are alike, just as no two families are alike. A change in circumstances or family dynamics can render an existing plan pointless or not what is wanted by the parties involved. Anyone in Nevada may want to make a point of reassessing an existing estate plan or to factor in a periodic check of the relevance of the estate planning decisions they are thinking of undertaking in the near future.
Source: forbes.com, “Why You Should Update Your Estate Plan“, Russ Alan Prince, July 3, 2014