Many people make the mistake of assuming that once they create their will, the hard work is over and they do not need to revisit their estate plan again. Unfortunately, failing to update your will can lead to confusing results for your loved ones when you pass. You should regularly update your will so that it still reflects your wishes when your life changes. As the new year approaches, make checking on your estate plan a priority. Below are a few things to consider as you update your will.
- Update Executors, Guardians, and Other Roles
Most wills name specific individuals as executors or guardians for minor children. As you get older, people that you were once very close with may become distant. Individuals may also become incapacitated, pass away, or otherwise become incapable or unwilling to fulfill the roles that you have set out for them in your will. Be sure to review these individuals and nominate others if the person you have chosen is no longer appropriate.
- Tally Up Asset Information
Some wills are written broadly enough to cover everything you own even as you accumulate more things. However, many wills explicitly set out who gets a specific item, especially if that property is worth a significant amount of money. You may need to add in additional designations if your will does not address something like new real property, vehicles, or other big-ticket assets.
- Keep Beneficiary Designations in Mind
If you have recently updated your life insurance or retirement account beneficiaries, you may need to make some adjustments in your will to account for these changes. For example, if you have specifically named one child as a beneficiary of your life insurance, you may want to decrease the amount that he or she receives as part of your will. Remember, beneficiary designations on items that fall outside of your estate will override the language that you include in your will.
- Joint Property Is Not Addressed in Your Will
Many people choose to update their estate plan after they go through a major life event, such as a marriage or divorce—and for good reason. When you own property jointly, it will pass to your spouse even if your will says something entirely different. That means that if you own your home together with your spouse, it will pass to him or her even if your will states that your house should go to a child from a previous marriage. It is essential to have all of these designations in line with one another.
- You Must Still Meet Requirements Under Iowa Law
Updating your will is much like creating a new one in that you must still have witnesses watch you sign the document for it to be valid. It should also revoke any prior versions you have as well.
Jeremy Danilson can help you think about what has changed in your life since the last time you updated your will so the document says exactly what you mean. Call today for more information.
