When to change an Estate Plan
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Things happen to us. Some changes are voluntary and some are involuntary. So, if you signed a will or trust several years ago, your situation now may be quite different. Over your lifetime, it is not uncommon to have a few different estate plans as your circumstances change over time. For many, 20 years or so may pass between estate plan reviews. But some situations deserve another look. A review will also be able to address the common question of “Should I change from a Will to a Trust?” Common Reasons to Review and Change Your Estate Plan:
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How to change your will and other estate planning documents |
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From time to time, it's common to need to make changes to our estate plans. Usually, you don't need to change all the documents. For example, something has happened to a person you've named in only one of these documents. All of these documents are amendable or changeable documents. |
Will |
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A will is valid regardless of how old it is, but your original wishes may no longer be valid. Frequently wills are created with the birth of a child and include a provision to name a person or two to be the child's guardian.
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Trust |
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It is easier to amend a MA revocable living trust, because they contain provisions on how to modity the trust. They exist this way because people change their minds as to whom and how to leave their assets as their life changes. A revocable trust is also known as a MA amendable trust, and are more frequent than an irrevocable trust.
Irrevocable trusts are more difficult to amend. The most common goal of a MA irrevocable trust is to make the trust assets to be removed or exist outside of the taxable estate of the person who made the trust. The person who created the trust is frequently called either the 'Grantor,' the 'Trustor,' or the 'Trust Maker.' To make changes to an irrevocable trust, the trust should be read thoroughly to see if its terms allow for a change or termination. Or, if the trust terms, when fully understood, actually allow you to do what you want to do even if the trust continues unchanged. Health Care ProxyA health care proxy is essential, as the recent coronavirus epidemic has shown. This document allows another person to speak up for you for medical reasons if you cannot communicate. From time to time, you may want to change your MA health care proxy. Maybe a person you named as the key person - your agent' - has moved or deceased. You can create a new health care proxy by signing a new one before two witnesses. Just make sure those witnesses are not the same persons you have named to be the person who will communicate for you. By the way, MA law does not recognize what is called in other states a living will. So there is no legal MA living will. Instead, we put general directions about your care inside of the MA health care proxy document. |
Durable Power of AttorneyIf your durable power of attorney is over 5-6 years, you should realize that financial institutions may reject them as being too old or deemed 'stale' and unacceptable. We regularly update durable powers of attorney to counter this unfortunate policy of financial institutions. |