If you own a car, then you know that periodically it needs to be serviced. After a certain number of miles or time period you know you need to get an oil change, rotate the tires, check the fluids, etc. in order for your car to function properly. If you own a new car, it probably came with a recommended service schedule and the car has an irritating light that turns on as a reminder that service is due (or maybe even overdue). You are aware that if you keep driving your car without servicing it, chances are it’s going to have problems and will not work properly.
Like your car, your estate plan needs “servicing” in order for it to function properly when you need it. Your estate plan is a snap shot of you, your family, your assets, and laws that were in effect at the time you created your estate plan. The only constant in this life is change. Everything changes over time and so should your estate plan. It’s unreasonable to think that the estate plan you created when you were newlyweds or new parents, will be effective now that your children are adults, or you are retired surrounded by grandchildren. Over the years, your estate plan will need servicing; it will need periodic check-ups, tweaking, and possibly even a replacement.
So how do you know when your estate plan needs servicing? Just like your car has certain mileage checkpoints, your estate plan should have event checkpoints. Any change can prompt a check-up on your estate plan; for instance changes in your health, marriage status, financial security, employment, retirement, changes in laws, etc. It is wise to review your estate plan on a yearly basis. A good reminder might be to review your estate plan around annual events, i.e. the New Year, birthdays, anniversaries, holidays, etc. If any changes have taken place in your life, you should contact your estate planning attorney for a check-up. Some changes to your estate plan may simply require adding an amendment to your will, known as a codicil or an amendment to your trust. Adding yearly checkpoints to review your estate plan, will assure you that it will run smoothly when you need it most.
