Standard estate planning advice goes that you should at least have a will for estate planning purposes, but it’s imperative that you understand the importance of updating such a document, too. All too often, we encounter clients who have created a will but done so 10 or 20 years ago. 

The reason that this is an outdated document is because your life has probably changed significantly over the course of that time, meaning that plans you had a decade ago are no longer relevant for your future. It’s also worth mentioning that tax laws have changed over that time, too. Even in the event that your document is still valid, this doesn’t guarantee that your plans would be carried out the way you intended.

What follows are four key dates and an issue that warrants an updated version.  If your will was created prior to these dates, it’s time for a review:

• April 14, 2003: Compliance dates for HIPAA
• January 1, 2005: This is critical if you live in a state that has an individual state estate/inheritance tax
• December 17, 2010: This is the official enactment date for the Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010. This increased the federal estate tax exclusion.
• January 2, 2013: This date matters if you’re part of a married couple with a taxable combined estate worth more than $5.43 million.

To find out the details and whether you need an update, contact our office today.