By The Law Firm of Figeroux & Associates

Estate planning is not a “set it and forget it” task. Life evolves, laws change, and your estate plan must adapt to reflect your current circumstances and goals. At Figeroux & Associates, we emphasize proactive planning to safeguard your legacy. Below, we outline a step-by-step guide to determining when and why you should update your estate plan.

Step 1: Understand the Purpose of Regular Updates

An estate plan includes wills, trusts, powers of attorney, and healthcare directives. These documents ensure your assets are distributed according to your wishes, minimize family disputes, and protect loved ones. However, outdated plans can lead to unintended consequences, such as ex-spouses inheriting assets or estranged relatives gaining control. Regular updates ensure your plan aligns with your life and legal standards.

Step 2: Major Life Events That Demand Updates

1. Marriage or Divorce

• Marriage: Update beneficiary designations, wills, and trusts to include your spouse.
• Divorce: Revise documents to remove an ex-spouse as a beneficiary or fiduciary.

1. Birth or Adoption of a Child

• Add guardianship provisions for minors.
• Include the child as a beneficiary in trusts or wills.

1. Death of a Beneficiary or Fiduciary

• Reassign assets intended for the deceased.
• Name a new executor, trustee, or guardian.

1. Relocation to a New State

• Estate laws vary by state. For example, New York has unique rules about executors and probate.

Step 3: Financial Changes

1. Significant Increase or Decrease in Assets

• Adjust distributions to reflect new asset values.
• Update trusts to manage complex holdings (e.g., real estate, businesses).

1. Acquisition of Property in Multiple States

• Avoid multi-state probate by transferring properties into a trust.

1. Changes in Tax Laws

• Federal and state tax thresholds shift frequently. For instance, the 2023 federal estate tax exemption is $12.92 million, but this could change.

Step 4: Relationship Changes

• Falling out with a named beneficiary? Redistribute assets.
• Ensure fiduciaries (e.g., trustees) are still trustworthy and capable.

Step 5: Health Changes

• Update healthcare directives if your medical preferences evolve.
• Revise powers of attorney if your designated agent becomes unfit.

Step 6: Legal and Regulatory Updates

• Federal/State Law Revisions: For example, New York’s recent simplification of probate for small estates.
• Court Rulings: Precedents affecting trusts or inheritance disputes.

Step 7: The “Every 3–5 Year” Rule

Even without major life changes, review your plan every 3–5 years. Laws, relationships, and goals shift over time.

Step 8: How to Update Your Plan

1. Consult an Attorney: DIY updates risk errors. At Figeroux & Associates, we review your documents and recommend adjustments.
2. Amend or Restate Documents:
   • Codicils: Minor will changes.
   • Trust Amendments: Adjust provisions without revoking the trust.
   • New Documents: For major overhauls.
3. Re-Title Assets: Ensure new properties or accounts are added to trusts.

Conclusion: Protect Your Legacy Proactively

An outdated estate plan can create confusion, family strife, or unintended tax burdens. At Figeroux & Associates, we make updating your plan simple and stress-free. Whether you’ve welcomed a new grandchild, moved to Brooklyn from another state, or need to adapt to tax reforms, our team ensures your wishes are honored.

Contact Us Today
Don’t wait for a crisis to revise your estate plan. Call 855-768-8845, text 718-986-4362, or visit www.askthelawyer.us to schedule a consultation. Our office at 26 Court Street, Suite 701, Brooklyn, NY 11242, is ready to help you secure your family’s future.