Once you have a will or trust on file, you may think you are done with future estate planning. However, there are several circumstances that have nothing to do with you, and a few that do that could necessitate a change.

Here are five (5) reason that should cause you to update your estate Planning:

• Major changes in your financial situation. You can make changes to your will or trust that will help minimize the financial impact of newfound success. If you have a business that’s about to take off, shifting assets can help you avoid gift and estate taxes.

• Becoming a parent or grandparent. Once you become a parent, you need to be sure and name a guardian for your children, and create a plan to provide for them financially. Adding grandchildren to the family may mean that you want to restructure trusts or beneficiary designations to include the new little one.

• Changes in the law. Federal estate and gift tax exclusions can change, and Washington has its own estate tax rules and exclusion. Review your plan under the law that applies to your circumstances rather than relying on an older dollar amount.

• Changes in your health. A serious illness is a reason to review your estate plan and any proposed gifts with your attorney and tax adviser. The federal annual gift tax exclusion is different from the estate tax exclusion and should be checked for the year of the gift. Before transferring assets, discuss the timing, tax treatment and effect on your own financial needs.

• Changes in your relationship status. Wills and trusts should be changed immediately upon divorce, separation, or a break up. You’ll also need to change beneficiary designations on things like retirement accounts, life insurance and other jointly titled assets. If you lose a spouse, you may need to redo your estate planning altogether. You also have a limited window of time to utilize any of their unused exceptions.

Over the past 34 years, the Law Offices of Christopher A. Benson has helped more than 900 clients prepare and utilize simple and effective planning techniques to protect them and their families in order to avoid probate, save estate taxes, save money and save added emotional burden that comes from long term illness and/or death of a family member. Give us a call to schedule a free consultation to find out how we can help you and your family.