Is It Time to Revisit Your Estate Plan?
Think back to the last time you reviewed your estate plan. Was it the day you sat in your attorney’s office signing a mountain of legal documents? If so, you’re not alone. Many people check estate planning off the list and never look back—sometimes for decades.
But estate planning isn’t a "set it and forget it" endeavor. Life events, tax laws, and even family dynamics can shift significantly over time.
That's why you should review your plan every 3 to 5 years. You should also do this after any major life event. This helps keep everything in line with your current wishes and today's laws.
Here are ten common red flags that could indicate your estate plan needs a refresh.
1. Outdated Executors or Trustees
Have you looked at who you've named as your executor or trustee lately? These fiduciaries are entrusted to carry out your wishes and manage your assets responsibly.
But the person you chose years ago may no longer be up to the task—or even alive. Age, health, or changes in personal or professional relationships may all make your original choices outdated. Periodically review these designations to ensure they still make sense and reflect people you trust.
2. Your Children Are Grown (and Life Is More Complicated)
Estate plans often include provisions for minor children—guardianship, trusts with age-based distributions, and more. But if your kids are now adults, it’s time to rethink those structures.
Are they financially responsible? Married? Parents themselves?
An outright inheritance may no longer be appropriate. And if they’ve had differing financial outcomes, you may want to adjust how and when they receive their share.
Also, don’t forget: adult children need their own health care directives and powers of attorney. Encourage them to put those in place as well.
3. HIPAA Authorizations: Don’t Leave Your Family in the Dark
Medical privacy laws (like HIPAA) can prevent even your closest family from accessing your health information without proper authorization. If your health care power of attorney or living will does not give up HIPAA rights for your chosen representatives, it could cause delays. This may slow down or block important decisions during a medical emergency. Make sure your documents give your loved ones the access they need.
4. Your Wealth Has Grown—So Have the Tax Implications
As your assets grow, so does the complexity of your estate. The current federal estate tax exemption is historically high—$13.99 million per person in 2025—but that could change.
Old plans might have tax strategies based on lower limits. This could lead to extra trust funding or legal issues. Review your plan with a tax professional to ensure it still fits your financial picture.
5. You've Moved to a New State
Estate laws vary by state—everything from tax rules to how property is treated can differ significantly. If you’ve relocated since your last update, your old documents may not comply with your new state’s laws. Don’t assume they’ll hold up. A local estate planning attorney can help ensure your plan is still valid and tax-efficient where you live now.
6. Portability and Flexibility: Are You Taking Advantage?
Since 2011, spouses have been able to “port” unused federal estate tax exemptions to the surviving spouse. This has changed the game for many estate plans that previously relied on credit shelter trusts. You might now benefit from greater flexibility through a disclaimer trust or other updated strategy—especially if you live in a state with its own estate tax.
7. Planning for Philanthropy
If charitable giving is part of your legacy, it’s important to reflect that in your estate documents. You can include philanthropy in many ways.
This can range from simple gifts to donor-advised funds or charitable trusts. These options may also help lower your estate tax. Just remember: if it’s not in writing, it may not happen.
8. Focus on Income Taxes, Not Just Estate Taxes
As estate tax exemptions have grown, income tax planning has become more important. For example, trusts face high income tax rates on relatively low income levels. If your estate plan does not allow for flexible income tax options, it may lead to unexpected tax costs. Modern plans should balance estate and income tax implications.
9. Life Insurance: Still the Right Tool?
Many people take out life insurance and never revisit the policy. But does your coverage still match your goals?
Has the performance held up? Should the policy be owned by a trust instead of held directly? It’s smart to periodically review the structure and purpose of your insurance as part of your broader estate strategy.
10. Keep the Family in the Loop
Do your heirs know what to expect when the time comes? Clear communication can help prevent confusion, conflict, and legal disputes. Consider drafting a letter of instruction for your loved ones that outlines your wishes, identifies key contacts, and includes a basic asset inventory. Opening the dialogue while you’re alive can foster understanding and reduce surprises down the road.
The Bottom Line: Estate Planning Is Not One-and-Done
Life changes, laws evolve, and priorities shift. Keeping your estate plan current is a critical step in protecting your legacy and supporting the people and causes you care about. A regular check with your estate planning attorney, financial advisor, and tax advisor can help make sure your plan still works as you want.
Sources:
https://www.fidelity.com/viewpoints/wealth-management/estate-planning-common-pitfalls
Disclosure:
This information is an overview and should not be considered as specific guidance or recommendations for any individual or business.
This material is provided as a courtesy and for educational purposes only.
These are the views of the author, not the named Representative or Advisory Services Network, LLC, and should not be construed as investment advice. Neither the named Representative nor Advisory Services Network, LLC gives tax or legal advice. All information is believed to be from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your Financial Advisor for further information.