keeping your plan current
If you already have a plan, you'll need to review and revise your plan occasionally -- probably every three to five years, or when something major happens in your life or the lives of your guardians, executors, or trustees. Here are a few of the most common reasons that people revise their estate plans: change in marital status, birth or adoption of a new child, becoming a grandparent, changes regarding pets, changes in financial situations (e.g., you inherit money, your company goes public, you buy a house or business, you get fired or go bankrupt).
divorce
If you owned property together, you will have to change title to that property. Also, if you had a will and/or trust, this will have to be redone to match the current circumstances.
If you're divorced, you may be unhappy with the idea that should you die first, your ex-spouse would get custody of your children. If you never married, you might be equally unhappy with your former partner having custody of your child. A court could deny custody to a parent who has abandoned or abused children. If you have concerns regarding your ex-spouse or partner's ability to take custody of your children, ask me how you can take action.
Diagnosis of Chronic Condition or Disability
If you are sick or disabled, who can handle financial, legal, and tax matters for you? Who can pay your bills so your bank doesn't foreclose on your mortgage, or the utility company doesn't cut off your phone, electric, heat, and power? And who will take care of other emergencies that you are not able to handle? If you are married, don't assume that your spouse has legal authority to sign your name. He or she does not. The best answer to the questions posed above is a legal answer: power of attorney.
If you or a loved one has a chronic illness, estate planning takes on greater importance and requires modification from what is typically done for those who don't have a chronic illness. Too often estate planning is viewed as merely signing "standard," or "boilerplate" forms. While this is dangerous for even the average person, it can be catastrophic for those with chronic illness and their loved ones. "Standard" forms just wont work for you. Every document and every aspect of planning should be tailored to address the potential impact of your chronic illness. A revocable living trust might be the most powerful and beneficial tool to assist you in managing assets and other matters throughout the often unpredictable course of your disease.