Reasons to Update Your Will in the New Year

Heading into 2024, it is essential to have an estate plan in place to ensure that your assets are distributed exactly as intended when you pass away. An integral part of your estate plan is having a will created. Having a will created is only the first step, the second step is maintaining your will throughout the years. Typically, you should revisit your will every 3-5 years to update it for any of the following life events: change in marital status, having or adopting a child, moving to a new state, acquiring new assets, and the  death of a spouse or power of attorney just to name a few.

The most common life events that can affect your estate plan are:

1. Change in marital status: Whether the change in marital status be a new marriage or a divorce, a revision of your will is necessary. A new marriage should prompt a revision of your will because you have choices. You can add your spouse to your will or if your new spouse has children, deciding whether or not to add those children to your will should be considered as well. A divorce should prompt an immediate revision of your will to protect your assets by removing your ex-spouse from the will, including any retirement accounts or insurance policies that they are associated with.

2. An addition of a child: Adding a child to your family, whether it is the birth of a child or an adoption of a child, makes revising your will necessary. Changing your will because of the addition of a child is necessary because you have to include legal guardians who will take care of your child if you and your spouse pass away and to change the distribution of assets in your will to include the child.

SIDE NOTE: A grandparent may also consider updating their will to include their new grandchild in their will to receive an inheritance and/or assets from the will.

3. Moving states: When moving to a different state keep in mind that every state has different requirements for a will. Updating your will to ensure that it is legally valid in the new state you are living in should be a priority once you have settled into your new home. If your will is not legally valid due to additional requirements an update to make the necessary changes will make your will valid again.

4. Acquiring new assets: If your income changes significantly because you get a new job, you receive an inheritance, or you receive a “gift” from someone else, revising your will is necessary to include any new assets.

SIDE NOTE: If an unforeseen circumstance occurs and your assets decrease drastically you should revise your will to reflect your decrease in assets.

5. Death of a spouse: If your spouse [or another individual] is your power of attorney, health care proxy, or the individual receiving your assets, it is in your best interest to change your will as soon as possible. A new individual should be assigned to these roles to ensure that they are properly managed when the necessary time for their involvement comes.

SIDE NOTE: The same is true for your assigned executor and guardians assigned for your children.

If any of these changes have occurred in your life recently or anything else that would require you to change your will, you can trust Betham Law, PLLC for legal advice relating to your estate planning matters. For help revisiting your will, please contact Betham Law, PLLC to schedule a consultation today.