No one said proper estate planning was an easy task. Once signed, sealed and delivered, most of us would rather not reopen and revisit the decisions contained in legal documents focused on our own morbidity and mortality. Call it human nature.
This natural reluctance is the focus of a timely MarketWatch article titled “Make your heirs happy: Update your will.”
According to a recent Consumer Reports survey, 86% of respondents who had wills or other estate documents had not updated them within the past five years. How much happens in five years! Five years ago it was 2008, the time of the market crash and the destruction of so much wealth. Can you say "subprime"? In addition, the last 5 years have witnessed five different taxation regimes governing estate and gift taxes.
Aside from financial and tax changes, what about changes closer to home in Overland Park or elsewhere? How many new family members are there and how many have passed? Have there been any marriages, divorces and remarriages? Indeed, how much has your own perspective on the world changed?
You get the picture.
While there are logical reasons to review your legal documents once created, there also is that natural emotional reluctance to do so, as noted above. Accordingly, it is best to make this another of your scheduled “to do” items on your calendar.
As the MarketWatch article confirms, following through on your regularly scheduled estate plan review and update will make your heirs happy, and ensure that your own decisions are honored.
Remember: When making your financial, tax and estate plans, don't go it alone. Be sure to engage competent professional counsel.
Reference: MarketWatch (May 8, 2013) “Make your heirs happy: Update your will”