End-of-Year Checklist: Is Your Estate Plan Ready?
As the year winds down, it’s easy to let estate planning slip to the bottom of your to-do list. We’re all stressed enough as it is- but taking the time to review and update your estate plan now can save you and your loved ones a lot of stress in the future. Whether you’re finalizing documents or simply making sure everything is up to date, a little preparation goes a long way.
Let’s walk through an essential end-of-year checklist to help you ensure your estate plan is ready to meet your needs and protect what matters most.
Review and Update Your Will and Beneficiaries
Start by revisiting your will and any beneficiary designations to ensure they reflect your current wishes. Life changes like a marriage, divorce, or the birth of a child an significantly impact these decisions. Failing to update these documents could lead to big headaches and unintended outcomes.
Check:
Beneficiaries on life insurance policies, retirement accounts, and other assets.
That your will clearly outlines your wishes and any recent life changes are reflected.
Taking the time to review these details helps avoid confusion or disputes down the line, giving you peace of mind.
Explore the Benefits of a Revocable Living Trust
A revocable living trust offers flexibility and control over how your assets are distributed while helping your family avoid the probate process. For those with property, financial assets, or specific distribution goals, a trust simplifies management and allows for a smoother transition.
In addition to bypassing probate, a trust provides privacy for your estate and offers solutions for unique circumstances, such as managing funds for young beneficiaries or supporting dependents over time.
Organize and Protect Your Digital Assets
Digital accounts are an integral part of modern life, from email and social media to financial apps and cryptocurrency. Create a secure list of these assets along with login credentials and instructions for how they should be handled. This ensures nothing is lost or forgotten when your estate is settled.
By taking steps to protect your digital footprint, you simplify the process for loved ones and prevent access issues during an already challenging time.
Assign Powers of Attorney and Healthcare Directives
Unexpected situations can arise at any time, and having the right documents in place helps you stay prepared. A durable power of attorney allows someone to manage your financial matters if you’re unable to, while a healthcare directive outlines your medical preferences in case of a serious illness or injury.
Review Insurance and Inventory Your Assets
Take time to assess whether your current life insurance and other policies still meet your needs. An annual review ensures you have the right coverage in place. Additionally, inventorying your assets, from real estate and investments to personal items like jewelry or heirlooms, provides clarity for your estate plan and minimizes confusion later.
Knowing exactly what you own and documenting it properly lays the groundwork for a comprehensive estate plan.
Take Control of Your Estate Plan Before Year-End
Preparing your estate plan doesn’t have to be a complex process, but it does require attention to detail. By working through this checklist with a professional, you’ll ensure your wishes are clear and your loved ones are well-supported.
If you’re ready to review or update your estate plan, Elaine McGinnis, PA, is here to guide you. Schedule a consultation today and start the new year with peace of mind.