Secured an estate plan? Fantastic! Many underestimate its power in safeguarding loved ones and assets. But even with a plan in place, it is crucial to revisit it periodically. Life throws curveballs, and your estate plan should remain flexible and current to navigate them.
If you have not gotten around to estate planning, it is never too late, but do not fall prey to the many missteps that can trip you up. Here are two common pitfalls that can wreak havoc on estate plans – remember them when creating or reviewing yours.
Overlooking retirement account designations
Think about your retirement accounts and who will have a right to them when you pass. If you name your spouse, for example, as the beneficiary to your retirement funds in your will, but the account lists another, your loved ones may have trouble sorting things out.
The beneficiary designations in retirement accounts typically trump those in your will. If you don’t want that surprise for your loved ones, update your documents for better clarity.
Forgetting others may need access
Who else knows where your estate plan lives? Access to these documents becomes crucial if illness or injury strikes. If no one can locate your powers of attorney or health care proxy documents, they can’t make critical choices for you during an already stressful time.
Ensure a trusted individual knows where to find your estate plan. Talk to them about its location each time you review or update it. Consider keeping a digital copy in a secure cloud storage location for easy access.
Consulting an experienced law firm familiar with New York laws is smart. They can help you avoid blunders and ensure your plan always reflects your current wishes.