What should you prioritize when reviewing your estate plan?

On Behalf of | Feb 15, 2021 | Uncategorized |

When reviewing your estate plan, it can seem like an enormous task at the start. Fortunately, there are ways you can organize your review to make it more manageable. In fact, you do not even need to review every part of your estate plan.

When deciding how to prioritize your review, you should keep a few things in mind. First, have you gone through any big changes in life lately that would also affect your plan? Second, if nothing has changed, what are the most crucial parts of the plan to keep an eye on?

Finances and assets

Forbes discusses the parts of your estate plan that you should prioritize first in review. These parts involve your finances and assets, along with your beneficiaries and key figures. These areas are most likely to change. They are also among the most crucial components of your plan.

For finances, you want to review your plan any time you gain or lose assets. You also want to review and update if your assets change form. An example may include selling off a large property and placing the money from it into a trust instead. Whatever the case, you want to ensure your plan reflects your current life circumstances.

Beneficiaries and key figures

Related, you want to keep your beneficiaries up to date, too. These constantly change as people enter and leave your life. For example, you do not want an estranged spouse getting your life insurance money. You also do not want a newly adopted child to end up with nothing.

Finally, you need to focus on your power of attorney and health care proxy. These individuals help steer your life when you no longer have the ability to. It is crucial that you can trust and rely on them, no matter what. If you notice any of these situations have changed, you can then update your plan.