A will is one of the most important legal documents you’ll ever create. It outlines how your assets and belongings should be distributed after your death, ensuring that your wishes are respected. But while having a will is crucial, simply drafting one isn’t enough. Life is dynamic, and as circumstances change, so too should your will. In this article, we’ll explore why it’s important to review your will regularly and highlight key life events that may signal it’s time for an update.
1. Significant Life Changes
One of the most common reasons to review a will is a significant life event. Major life milestones can shift your priorities or alter the distribution of your assets. Here are some examples:
- Marriage or Divorce: If you get married or divorced, your will may no longer reflect your intentions regarding your spouse or former spouse. For example, in many jurisdictions, marriage automatically revokes a previous will unless stated otherwise, and divorce may change your beneficiary designations.
- Children or Grandchildren: The birth of a child or grandchild is a key trigger for revising your will. You may want to ensure they are provided for in your estate plan, or perhaps you want to designate guardianship if you are no longer around to care for them.
- Death of a Loved One: If a beneficiary or executor named in your will passes away, their role in your estate plan must be reassessed. Updating your will to reflect new people or responsibilities is crucial.
2. Changes in Financial Circumstances
Your financial situation can evolve over time, and this often affects your will. Whether you inherit a significant sum, sell or purchase property, or experience major changes in your income or assets, it’s important to ensure that your will accurately reflects your current financial standing.
For example, if you acquire real estate, investments, or other high-value assets, you’ll want to update your will to specify who should receive them. Similarly, if your financial situation declines, your estate plan may need to be adjusted to reflect more modest provisions.
3. Changes in Laws or Taxation
Laws surrounding wills and estate planning are not static; they evolve over time. Changes in tax laws, inheritance laws, or legal requirements could impact how your estate is distributed. For instance, there may be new inheritance tax thresholds, or changes in rules regarding trusts, that could affect the distribution of your estate.
It’s essential to stay informed about these changes and update your will accordingly to ensure that it remains legally sound and efficient in meeting your goals. Consulting with an estate planning expert is an excellent way to keep your will in line with any legal shifts.
4. When You Want to Add or Remove Beneficiaries
As your life evolves, so too do your relationships. There may be situations where you wish to add new beneficiaries to your will, such as a new partner, friend, or charity. Alternatively, you may want to remove a beneficiary due to a change in your relationship with them.
Additionally, if you wish to update how your assets are distributed between existing beneficiaries, your will will need to be amended to reflect these changes. Revising your will ensures that your legacy is distributed exactly as you wish.
5. Choosing or Changing Executors and Guardians
The role of an executor and a guardian is a serious one. Executors are responsible for administering your estate according to your wishes, while guardians are responsible for the care of minor children or dependants.
As circumstances change—such as the death, incapacity, or relocation of your appointed executor or guardian—it’s important to select replacements. Regularly reviewing and updating your will ensures that these roles are always filled by people you trust and who are capable of handling the responsibilities.
6. Addressing Specific Wishes or Special Circumstances
Over time, you may develop new wishes that need to be documented in your will. For example, if you acquire special heirlooms, valuable collections, or sentimental items, you may want to specify who should receive them.
You might also wish to include charitable donations or set up a trust for certain family members with specific needs (e.g., a child with a disability). Updating your will ensures these important considerations are legally documented and respected.
7. Peace of Mind for Your Loved Ones
An up-to-date will ensures that your family and loved ones are not left to deal with confusion or disputes after your death. Without clear instructions, your estate may be subjected to lengthy legal proceedings, and your wishes may not be properly carried out. By reviewing and updating your will regularly, you reduce the chances of conflicts or complications, giving you peace of mind that your legacy will be preserved as you intend.
Take care of your friends, family, and loved ones with a thoughtfully crafted will. Documenting your wishes will not only help avoid speculation and disagreements but give you confidence that dependants are looked after. At NB Property Law, we keep it simple and concise. You can trust our highly qualified team to give correct advice in all aspects of wills and estate planning.
Avoid procrastination this festive season.