Your estate plan is a set of crucial legal documents that outline your wishes for both the end of your life and after your passing. After you die, the executor named in your will takes control of your estate and goes through the probate process to settle your debts, distribute your assets, and fulfill your wishes.
However, if your estate plan is outdated, your executor could run into issues that slow down probate, make the process costlier, and make it difficult to fulfill your wishes as they’re written. By regularly updating your estate plan, you can mitigate these issues and have the peace of mind that comes from knowing your family will be taken care of.
Updating Your Named Executor
A basic yet often overlooked problem with wills is failing to update your named executor when necessary. Your named executor may have moved out of state, passed away, or no longer be willing to take on the role. It’s crucial that you update your named executor when these changes occur, and you can even name a backup executor just in case.
Adding and Removing Assets
Any time you gain or sell significant assets, you should update your estate plan to reflect that. For example, if you purchased a house or received a considerable inheritance, that should be included in your will or a trust. If these assets aren’t included in your estate plan, they may have to go through probate according to New Jersey’s intestate succession laws.
Changing Family Dynamics
Births, deaths, marriages, and divorces can all change the dynamic of your family and how you want your assets to be distributed after your death. As with gaining or selling significant assets, any time there is a change in your family dynamic, you should update your estate plan accordingly.
By making sure your estate plan clearly states who your beneficiaries are and what assets you want to leave them, you can also help your executor avoid running into disputes among your heirs. Your executor will be able to point to your estate plan to clear up any misunderstandings between beneficiaries.
Clearing Up Instructions
Old estate plans may include instructions that contradict each other. For example, your will may say that you plan to leave specific assets to one of your heirs, but you later decided to put those assets in a trust instead.
Removing outdated instructions can streamline the probate process and reduce costs, helping your heirs and beneficiaries receive the assets you left to them faster. It can also remove any confusion about what you intend to do with your assets, particularly if contradictory statements exist.
Keeping Track of Digital Assets
While many people consider their physical assets when planning their estates, they may forget about their digital assets. These include social media accounts, which may hold family pictures, financial accounts, and other digital assets you own that your heirs may not be able to access unless you include your login information in your estate plan.
It’s also important to include digital asset information in your estate plan so your executor can consider it when evaluating your estate.
Complying with State Laws
Different states have different estate plan laws you need to comply with. If you moved to New Jersey and haven’t updated your estate plan since, it may not comply with the state’s laws, which could make the probate process take longer.
Contact Our New Jersey Estate Planning Lawyers
If you haven’t updated your estate plan recently, contact E.A. Goodman Law LLC to schedule a consultation with an experienced New Jersey estate planning lawyer. We’ll review your existing plan, go over your goals, and make adjustments to your will and other documents that reflect your changing needs.
Posted in: Estate Planning