The Importance of Regularly Updating Your Will
Life is full of uncertainties, and while it’s not something we like to dwell on, death is one of those inevitabilities we simply cannot predict. We all hope for a long life filled with happy memories, but the reality is that accidents and unforeseen tragedies can strike unexpectedly.
Though we can’t foresee the future or avoid the inevitable, one of the most meaningful steps we can take to protect our loved ones is to maintain an up-to-date will. It’s an essential task that often gets overlooked or postponed, but regularly reviewing and updating your will ensures that your assets are allocated according to your wishes and that your family is well cared for.
What is a Will?
A will is a legal document that outlines your wishes regarding your property or estate after you pass away. This can include leaving your property to your children, grandchildren or other parties or selling it and dividing up the money a certain way.
In your will, you will need to appoint a trusted executor to carry out your wishes as outlined and clearly name the beneficiaries who will be inheriting your property. You will then need to sign it, along with two witnesses to ensure it is legally binding.
Reasons to Update Your Will Regularly
As we age and go through life, we experience new things that change our perspectives and desires. We welcome people into our lives and sometimes say goodbye to others. All while accumulating new items or properties that we treasure and that have significant value.
As this happens, you will likely have someone in mind to leave it all to, but that can also change over time as people come and go. Keeping your will updated is the only way to guarantee that your wishes are honoured, should anything happen to you.
How Often Should You Review Your Will?
It’s not necessary to update your will every other month or even every year, especially if there are no significant changes in your life. However, there are a few major life changes that necessitate a will update, such as:
- Getting married
- Having children
- Separation or divorce
- Death of a beneficiary
- Estrangement from a beneficiary
- Changes in asset ownership
- Major health changes or diagnosis
When any of these things happen, it can make you reconsider who you want to inherit your estate. So, updating your will regularly is essential for ensuring that it reflects your current desires.
In lieu of any life-changing events, we recommend that you review and consider updating your last will and testament every three to five years. Often our desires and perspectives change more than we perceive or believe, but when we read those plans back it can become obvious.
Consequences of Not Updating Your Will
If you choose not to update your will or just continue to put it off and then something unexpected happens, it can have consequences. Life can change quickly, and if your last will and testament doesn’t reflect those changes, your property may end up in the wrong hands or the court may be left to make decisions on your behalf after you’re gone.
Family Disputes
This can cause disputes among your family or beneficiaries that result in lengthy and expensive court battles, severed or tense relationships and a reduction in the value of your estate. One major example of this is if you divorce and do not update your will afterwards, your estate could be left to your ex-spouse rather than your family, leaving them to potentially go to court to get access to your assets.
Tax Law Changes
Additionally, as tax laws change it can lead to increased tax liabilities for your estate and beneficiaries. This diminishes the overall value of the inheritance, leaving them with less than you originally planned.
Invalidation of Will
Finally, certain life events can invalidate your will. Marriage or divorce for example can revoke or cancel out certain gifts or terms of your will, leaving it incomplete and invalid. If a will is deemed to be invalid, it is then left up to the courts to distribute your estate.
Ensure Binding Estate Planning with an Updated Will
So, in conclusion, it is important to set aside some time for updating your will, especially after any major life events. Whether you expect anything to happen or not, life happens and unfortunately so do accidents or serious illnesses. If you are not prepared, your assets may not end up where you want them to.
If you need any assistance or expert advice, you can contact our will and estate lawyers at Richard Zande & Associates. We will help you draft up a binding document that covers all of your desires for your estates.