Minor and major changes to life have an impact on the future. Though the future is unknown, it is possible to plan for it through estate planning in Rock Hill, SC. Estate planning allows the person to write down their wishes for the future if anything should happen to them, including how their estate will be handled if they pass away. When life changes, the estate plan may need to change, too. Some of the times to consider reviewing and altering the current plan include the following.
Getting Married
Getting married can have a huge financial impact and will likely alter how someone wants their estate handled when they pass. Once someone gets married, they will typically add the spouse to their will so they can make sure the spouse is taken care of if anything happens. It’s important to do this update as soon as possible to prevent the spouse from being left out if the unthinkable happens soon after the marriage. Without the update, settling the estate after the person passes can be far more complicated and can take longer to do.
Becoming a Parent
When someone becomes a parent, whether through birth or adoption, they may want to update the will to leave money, property, or other assets to the child. Until the child is an adult, it may be necessary to create an official custodian for the asset to care for it. It is important to be careful with this and choose someone who will care for the asset properly to make sure it is received by the child when they’re old enough.
Going Through a Divorce
Upon separation, it may be necessary to review the current will or estate plan to see what changes may need to be made. Depending on the situation, the ex-spouse may receive fewer funds or assets so they can go to the children instead or may be removed from the will entirely. It is important to think about how everything should play out in the future and what the impact of the divorce will be when making any changes.
Death of a Loved One
A loved one passing often spurs people to think about what will happen when they pass. This could be the start of estate planning or a good time to update the plan. If the person receives an inheritance from the death of a loved one, they may also want to update the will to include how those funds or assets will be handled in the future. This is especially important if the goal is to hold the funds in a trust for children to have in the future.
Starting a New Job
Changes in career may have an impact on finances as well as where someone lives, what’s accessible to them, and more. If it’s time for a new career, consider the future impact this may have and whether it will impact the estate if anything happens. Depending on the benefits of the new career, it may be necessary to discuss the estate plan with a professional and make any updates that may be needed.
Buying a House
Buying a home, whether it’s nearby or far away, is a major change that should be followed by an update to the person’s will. It’s crucial to add in the new property as well as instructions for what should happen to it if the person passes. If a home is being sold, it may need to be removed from the will, depending on how it was written and what the changes are with the new property. If there is a mortgage, there may need to be instructions for how the estate will handle that after the owner passes.
Going Back to School
Going back to school can have a financial impact at the moment, as well as increase potential earnings in the future. Since the change is expected to impact a person’s financial situation, this is a great time to review the current estate plan and start thinking about what the future will hold. It is a good idea to review exactly what the estate plan states and, if needed, make changes related to the new education and how it will impact the future.
Starting a Business
When starting a business, it may be a good idea to add information about how the business will be handled when the owner passes. This can vary depending on the type of business or ownership, the money put into it, as well as future earnings from the company. It is a good idea to include it in the will now and to make adjustments as needed as the business continues to grow or if the owner decides to sell or close the business.
Changes in Future Plans
Sometimes, a person will change their mind on what they want to happen when they pass. This doesn’t need to happen when there’s a major life event – it can happen at any time. When someone does decide something needs to change, the estate plan may need to be updated. It’s a good idea to do this as soon as the person wants to change something, as that will ensure it’s in effect if anything happens.
Major life changes will have an impact on every facet of a person’s life, including what can happen to them in the future. As a result, it’s a good idea to review the estate plan regularly, especially after major life events like these, to determine what needs to be changed. Keeping the estate plan updated helps to ensure it will show the person’s desires for how the estate should be handled if anything does happen to them, minimizing the potential for complications. If you’re ready to review your estate plan or make any changes, turn to the Estate Preservation Law Firm in Rock Hill, SC, for help. Call them today for a consultation and a chance to review your estate plan with a professional.
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