You have a will, so you can rest easy, right? Not necessarily. If your will is outdated, it can actually cause more harm than good. Even though it can provide for some contingencies, an old will cannot cover every change that may have occurred since it was first drafted. Here are 17 reasons it may be time for an update.
Account for What Is Different
Professionals advise that you review your will every few years and more often if situations such as the following have occurred since you last updated your will.
1.Family changes. Events such as marriage, divorce, death, birth or adoption may affect how your estate will be distributed, who should act as guardian for your dependents and who should be named as executor or personal representative of your estate.
2.Relocating to a new state. Laws among the states vary. Moving to a new state or purchasing property in another state can affect estate plans and how property in that new state will be taxed or distributed.
3.Changes in your estate’s value. When you made your will, your assets may have been relatively modest. Now the value may be larger and your will no longer reflects how you would like to divide your estate.
4.Tax law changes. Federal and state tax laws are constantly changing, so you will want to be aware of any updates that affect you. An outdated estate plan may fail to take advantage of strategies that will minimize taxes.
5.Support a favorite cause. If you have developed a connection to an organization, such as the ELCA Foundation, you may want to benefit a particular charity with a gift in your estate. Contact us for sample language you can share with your attorney to include a gift to the ELCA Foundation in your will.
If you need to make or revise a will here are some things you can do with it.
6.Make gifts. You can give jewelry, art or other prized possessions to those who will appreciate them.
7.Create a trust for your loved ones. This is a good way to protect family and safeguard money. A professional trustee can manage your money wisely and make sure your beneficiaries receive enough income to maintain their standard of living.
8.Name your executor or personal representative. Before you choose an executor or personal representative, weigh the qualifications of your choice against the many critical duties required.
9.Name a guardian for a child or a dependent under your care. Choose someone who is willing and qualified to take the job and who shares your values and way of life.
10.Take care of your pets. You can identify potential caregivers for your pet or set up a trust for their care.
11.Pass on a closely held business. You can provide for the management and disposition of your interest in a closely held business to preserve its value and your family’s participation.
While you are reviewing your will, do not forget to review your powers of attorney and living will or advance directive as well. It is important that your health care power of attorney and financial power of attorney appoint a trusted individual or individuals to make medical or financial decisions on your behalf in the event you are unable to do so. A living will or advance directive documents your wishes regarding life-sustaining care. It can be as detailed or as simple as you like.
Do you want to help support the ELCA Foundation after your lifetime? If so, there are many ways you can do this in your will. Here are some suggestions.
12.Give the ELCA Foundation a share of what is left in your estate after other obligations are met.
13.Give the ELCA Foundation a specific amount of cash or securities.
14.Leave certain personal or real property to the ELCA Foundation and allow the ELCA Foundation to decide whether to keep it or sell it.
15.Make a contingent bequest. We will receive certain assets only if a named individual does not survive you. For example, you could provide for us to receive a gift only if your spouse does not survive you. Such a provision recognizes the need to provide first for family members or loved ones.
16.Create a charitable remainder trust to pay an income to your spouse or other loved one(s) for life, and designate the remaining principal for the ELCA Foundation.
17.Create a charitable lead trust to pay income to the ELCA Foundation for a number of years, or for another person’s lifetime, with the trust assets eventually being distributed to your family.
The ELCA Foundation exists to develop a culture of intentional generosity and financial stewardship to support and sustain ELCA ministries. The above examples may reference making a gift to the ELCA Foundation when providing sample language or in describing how a gift works for illustrative purposes. The ELCA Foundation processes gifts according to donor wishes defined in a distribution agreement or to fund a named endowment. It's important to discuss your gift with a Regional Gift Planner who can help document your gift intentions or explore how you may make a direct gift to any ELCA-related ministry. Alternatively, a gift may be made directly to a ministry of your choice simply by replacing the name "ELCA Foundation" or "Endowment Fund of the ELCA" with the appropriate name, address, and tax id of the ministry you wish to support.
The ELCA Foundation exists to develop a culture of intentional generosity and financial stewardship to support and sustain ELCA ministries. The above examples may reference making a gift to the ELCA Foundation when providing sample language or in describing how a gift works for illustrative purposes. The ELCA Foundation processes gifts according to donor wishes defined in a distribution agreement or to fund a named endowment. It's important to discuss your gift with a Regional Gift Planner who can help document your gift intentions or explore how you may make a direct gift to any ELCA-related ministry. Alternatively, a gift may be made directly to a ministry of your choice simply by replacing the name "ELCA Foundation" or "Endowment Fund of the ELCA" with the appropriate name, address, and tax id of the ministry you wish to support.
You have a will, so you can rest easy, right? Not necessarily. If your will is outdated, it can actually cause more harm than good. Even though it can provide for some contingencies, an old will cannot cover every change that may have occurred since it was first drafted. Here are 17 reasons it may be time for an update.
Account for What Is Different
Professionals advise that you review your will every few years and more often if situations such as the following have occurred since you last updated your will.
1.Family changes. Events such as marriage, divorce, death, birth or adoption may affect how your estate will be distributed, who should act as guardian for your dependents and who should be named as executor or personal representative of your estate.
2.Relocating to a new state. Laws among the states vary. Moving to a new state or purchasing property in another state can affect estate plans and how property in that new state will be taxed or distributed.
3.Changes in your estate’s value. When you made your will, your assets may have been relatively modest. Now the value may be larger and your will no longer reflects how you would like to divide your estate.
4.Tax law changes. Federal and state tax laws are constantly changing, so you will want to be aware of any updates that affect you. An outdated estate plan may fail to take advantage of strategies that will minimize taxes.
5.Support a favorite cause. If you have developed a connection to an organization, such as the ELCA Foundation, you may want to benefit a particular charity with a gift in your estate. Contact us for sample language you can share with your attorney to include a gift to the ELCA Foundation in your will.
If you need to make or revise a will here are some things you can do with it.
6.Make gifts. You can give jewelry, art or other prized possessions to those who will appreciate them.
7.Create a trust for your loved ones. This is a good way to protect family and safeguard money. A professional trustee can manage your money wisely and make sure your beneficiaries receive enough income to maintain their standard of living.
8.Name your executor or personal representative. Before you choose an executor or personal representative, weigh the qualifications of your choice against the many critical duties required.
9.Name a guardian for a child or a dependent under your care. Choose someone who is willing and qualified to take the job and who shares your values and way of life.
10.Take care of your pets. You can identify potential caregivers for your pet or set up a trust for their care.
11.Pass on a closely held business. You can provide for the management and disposition of your interest in a closely held business to preserve its value and your family’s participation.
While you are reviewing your will, do not forget to review your powers of attorney and living will or advance directive as well. It is important that your health care power of attorney and financial power of attorney appoint a trusted individual or individuals to make medical or financial decisions on your behalf in the event you are unable to do so. A living will or advance directive documents your wishes regarding life-sustaining care. It can be as detailed or as simple as you like.
Do you want to help support the ELCA Foundation after your lifetime? If so, there are many ways you can do this in your will. Here are some suggestions.
12.Give the ELCA Foundation a share of what is left in your estate after other obligations are met.
13.Give the ELCA Foundation a specific amount of cash or securities.
14.Leave certain personal or real property to the ELCA Foundation and allow the ELCA Foundation to decide whether to keep it or sell it.
15.Make a contingent bequest. We will receive certain assets only if a named individual does not survive you. For example, you could provide for us to receive a gift only if your spouse does not survive you. Such a provision recognizes the need to provide first for family members or loved ones.
16.Create a charitable remainder trust to pay an income to your spouse or other loved one(s) for life, and designate the remaining principal for the ELCA Foundation.
17.Create a charitable lead trust to pay income to the ELCA Foundation for a number of years, or for another person’s lifetime, with the trust assets eventually being distributed to your family.