The new year is the perfect time to set goals and focus on what matters most. For many, this includes securing their family’s future and organizing their financial affairs. Making estate planning resolutions helps protect your legacy and ensure your loved ones are cared for. Here are the top five estate planning resolutions to keep this year:
1. Create or Update Your Will
A will is the foundation of any estate plan. If you don’t have one, make it a priority to create one this year. If you already have a will, take the time to review it. Make sure it reflects your current wishes, especially if you’ve had major life changes, like marriage, divorce, or the birth of a child.
2. Establish a Trust
Trusts are powerful tools to help manage and distribute your assets. Whether you want to avoid probate, minimize taxes, or provide for a loved one with special needs, a trust offers flexibility and protection. Talk to an estate planning attorney to find the best type of trust for your needs.
3. Designate or Update Beneficiaries
Beneficiary designations on accounts like life insurance, retirement plans, and investment accounts often override what’s in your will. Review and update these designations to ensure they match your current wishes. This simple step can prevent confusion and ensure your assets go to the right people.
4. Create Advance Healthcare Directives
Advance healthcare directives, such as a living will and healthcare power of attorney, are crucial for expressing your medical wishes. They also allow you to designate someone to make decisions on your behalf if you become incapacitated. These documents give your loved ones clarity and peace of mind during difficult times.
5. Organize Your Financial and Legal Documents
Keep all your important documents organized and easily accessible. This includes your will, trust documents, powers of attorney, financial statements, and a list of assets and liabilities. Consider creating a central repository or secure digital file to store everything in one place.
Start the Year with Confidence
By making these estate planning resolutions and sticking to them, you can simplify things for your loved ones. You’ll minimize potential conflicts and ensure your wishes are respected. Work with a qualified estate planning attorney to take the first step toward protecting your legacy. This year, prioritize your family’s future and enjoy the peace of mind that comes with having a solid plan in place.
