Will your Estate Plan work when you need it?

It’s not uncommon to think of estate planning as just one of those things you’ll get to later, another item on the long list of “to-do.”  And when you’ve finished creating an estate plan, many folks toss it in a drawer, check “estate plan” off the to-do list, and consider it done.

But consider what’s changed in your life since you last revised your estate plan. It’s important to remember that estate planning is an ongoing process, not a one-and-done event. Your plan should be regularly updated to reflect changes in your assets, family situation, and laws. Failing to update your plan can create problems that leave your family in a worse position than if you had never created a plan in the first place.

A Real World Example

Let me share a recent case that crossed my desk: A couple have both entered into their second marriage. One of them had some partial estate planning in place, as a result of their divorce and an agreement to provide life insurance for the minor kids. And the other partner, having been single and without children, had nothing in place. Since then, their lives have been a whirlwind. They’ve relocated to a new state, bought and sold real estate, had two children, inherited assets, and started a retirement fund.

If this couple’s estate plan had to be activated today, it would not accurately represent their current needs or the needs of their family/heirs. (Keep in mind that even for the partner without a formal plan in place, the state has a plan for them, and it may have changed when they changed their state of rersidency.) In fact, it is entirely possible that some or all of their estate could be tied up in probate court due to demands from creditors, former spouses, or conflicts within their own extended family. In the worst-case scenario, some or all of the assets may be held as “Unclaimed Property” by the Oregon State Treasury until the case has been resolved.

How I Can Help

I recommend reviewing your plan at least every three years– and you can even do it annually– to ensure it’s up to date. It’s also crucial to make updates following significant life events such as divorce, deaths, births, moving to a new state, and inheritances. Taking these steps will help you maintain a comprehensive and accurate estate plan that truly reflects your current needs and family situation.

Many lawyers establish Trusts for their clients, yet only a few prioritize proper asset funding. I go beyond the standard practice of leaving clients on their own with funding their trust. I ensure proper asset titling at the Trust’s inception and meticulously document how to put future acquired assets into the name of the trust, so my clients are empowered to do it on their own. And I always tell my clients that if you have questions about trust funding now, or five years from now, to reach out with any questions at all. Through my commitment to my clients, I help safeguard against asset loss and minimizes the risk of placing undue legal burdens on your family due to an incomplete estate plan.

If you need to update your estate plan, or you need to get started creating a plan, please contact me today and schedule a 15-minute discovery call. I am happy to help you protect your future, and the future you’ve planned for your loved ones.