Will and estate plans are designed to carry out the wishes of an individual after they’ve passed away. Having an outline in place can save your loved ones much grief and uncertainty, but these documents require periodic updates to complement life changes. Here are several common scenarios when you should modify your will and estate plan.

When Should You Update Your Will? 

1. Becoming a New Parent or Grandparent

The birth of a child is a life-changing milestone. You now have a little one who depends on you for their financial and emotional well-being. As such, add a provision in your will naming a guardian to care for them should something happen to you. Be sure to discuss and ask the designated person if they are willing to take on the responsibility. This is also a good time for grandparents to update their will, and add a provision if they want their new grandchild to receive a portion of their assets. 

2. Getting Married or Divorced

Modify your will to reflect adding or eliminating the care of a spouse or ex. If you neglect this step, the state can take charge and allocate your estates. An attorney who specializes in wills and estate plans is a good resource for going over specific assets, including life insurance, real estate, investments, and bank account funds.

3. Complying With Tax Law Changes

It pays to be up to speed on state and federal estate tax laws to avoid unexpected financial hits. For instance, the 2017 Tax Cuts and Jobs Act raised the federal estate tax exemption to $11.8 million for individuals and $22.36 million for married couples. This eliminates the estate tax for most people (except the wealthiest individuals), so you should consult with a will and estate plan attorney to see if there is a more lucrative way to pass your assets to your beneficiaries. 

4. Increasing or Decreasing Assets

Anytime you experience a substantial increase or decrease in assets, you should update your will and estate plan. Acquiring a business, vehicle, or commercial property should also be addressed. Conversely, if you’ve lost certain assets, your will needs to reflect those changes.

If it’s time to update your will, reach out to William A. McWhorter in Pell City, AL. Since 1997, he has provided expert and customized legal guidance and representation to families and business owners throughout St. Clair County. With a specialization in wills and estate plans, this attorney takes the time to listen to clients and prioritize their unique needs and preferences. Visit him online to learn about his other practice areas or call (205) 338-4411 to schedule a free initial consultation today.