Many people make an estate plan and never update it again. They just think that having a plan is the only requirement. Once they have drafted a will, they forget about it, and they don’t make any adjustments.
You can do this, but it can create numerous problems. It’s much better to review and update your estate plan periodically. Here are some potential problems that could crop up if you fail to do so.
Beneficiaries get left out
First off, some beneficiaries may not be included in your will. Maybe more grandchildren have been born since you drafted your initial estate plan. They aren’t going to receive anything unless you update that plan to include them.
Assets go where you no longer intend
Additionally, you may want to remove beneficiaries. Maybe you were previously married, and your spouse is listed as a beneficiary, or maybe you are estranged from one of your adult children, but they are still listed in your original estate plan. If you pass away without updating the plan, there’s a chance that your assets could go to people you no longer intended to receive them.
Your family doesn’t have comprehensive guidance
Finally, if there’s no estate plan, your family doesn’t get the guidance that they need. They don’t know what your wishes are regarding how your assets should be divided. They don’t know what medical decisions you would’ve made or what type of care you need if you become capacitated. You can address all of these issues in your estate plan, but you need to update it so that it gives them the correct guidance.
If you are interested in drafting a plan or updating an existing one, take the time to carefully consider your legal options.