When was the last time you reviewed your estate plan? Most people have not reviewed their estate plan since they put it together with the help of their attorney. Although it is relatively common, taking a set-it-and-forget-it approach to estate planning is risky business. As time passes, life circumstances change, as does the law regarding estates. For these reasons, it is essential to review an estate plan every three to five years. Below are a handful of common mistakes that can easily be caught and corrected by reviewing all estate planning documents.
Updating Your Fiduciaries
Knowing who is named as the executor of a will or as the trustee of a trust is crucial to making sure that an estate plan is properly carried out. Each fiduciary plays a critical role in the administration of an estate. Over time, relationships often change. People drift apart and may even fall completely out of touch. People also grow old and pass away. Thus, it is crucial to check in with an estate plan every so often to make sure the named individuals are still up to the task. Even if the fiduciary is still willing and able, you may find on further inspection that there is a better person for the job.