How Often Should You Review Your Living Trust and Will?
If you ever stressed on, “How frequently should I update my living trust and will,” you are not alone, and it is a big question that people often come across, sadly, they don’t address. Probate Attorney in San Bernardino is an essential task that every individual should properly deal with.
How to Update Living Trusts
A living trust commonly known as a revocable trust is a written legal record about assets that are arranged into a trust for a long-term benefit. General assets put into a trust including your bank accounts, home, and stocks. A revocable trust permits you to define yourself as the trustee during your entire lifetime period to remain in charge of your assets. When you are no more, the trust becomes permanent and is assigned to a named beneficiary.
As the grantor” of trust, you can amend a revocable trust if conditions change. Revocable trusts are generally revised to add or modify an assigned beneficiary, or to discuss domestic affairs. The trust can be amended or withdrawn at any time by the trustor unless he or she is mentally fit. Having an updated trust will decrease the chances of your assets passing through probate.
Update your living trust in following situations -
- Recent marriage or divorced
- Change of residence address
- Financial status change
- When a beneficiary or trustee expires
- New tax laws affecting trust assets
Furthermore, you should also renew every five years your trust’s record of assets. This, in turn, allows you to enter newly earned assets and exclude assets that got disposed of.
You should never go extended periods of time without reconsidering your estate plan. The initial step of the estate planning is to create a will, although, frequently it is essential to modify a will that was before done due to life changing situations. You should evaluate your estate plan in every few years to secure no changes need to be done. Considering making an update or preparing a living trust or will? Contact Probate Attorney in San Bernardino for assistance. We can help you settle your dear one’s future when you pass away.
