If you are a Baby Boomer, you are certainly old enough to understand the value in having an estate plan in place. In fact, you may be old enough that it’s past time to update your plan if you haven’t done so in the last few years. Toward that end, the estate planning attorneys at Nash Bean Ford & Brown, LLP offer several reasons why Baby Boomers need to review and revise their estate plans.
Baby Boomers Head into Retirement
The Baby Boomer generation is larger, by far, than any previous generation in the United States. In fact, the older population in general is growing at an historic rate in the U.S. and is expected to surpass its younger counterparts (age 21 and younger) by the year 2050. As the oldest of the Baby Boomers head into their retirement years, this should trigger the need to update a current estate plan. This is particularly the case if you haven’t done so for many years. Consider the following reasons why now is a good time for you to update your estate plan if you are a Baby Boomer:
- Your children are now adults – One of the most common reasons for creating an initial estate plan is to protect and provide for minor children. The moment you knew you were going to be a parent you likely started worrying about how to structure an estate plan that would protect your child if something happened to you. If you are like many parents, however, you probably didn’t change the terms of that plan after your last child reached adulthood. As adults, your children no longer need a legal guardian nor is it imperative that you designate someone to manage an inheritance left for your children. You need to update your estate plan to reflect those changes if you have not already done so.
- Your health has probably changed – although we can look forward to a much longer average life expectancy in the US than our ancestors had just a few generations ago, the reality is that the natural aging process catches up with us sooner or later. When you created your existing estate plan you probably weren’t worried about things such as the possibility of incapacity, developing Alzheimer’s or the need for long-term care. Now, however, is the time to revise your plan to reflect those real possibilities.
- Your relationships may have changed significantly – a lot can change in 10 or 20 years. The people you appointed to fiduciary positions within your estate plan, such as a spouse, parent, or close friend, may no longer be in your life for one reason or another. Conversely, you may have added new people to your life such as a new spouse, grandchildren, or new friends. To ensure that your wishes are reflected within your estate plan, it is time to conduct a thorough review and make any necessary changes.
- Your assets and liabilities have likely changed – as you near retirement age there is a very good chance that your assets and liabilities have changed markedly. For example, you may no longer rely on term insurance that you purchased when you were just starting out in life. You may also now have significant investment accounts along with significant liabilities such as a mortgage. While your existing estate plan should be able to handle a certain degree of change where assets and liabilities are concerned, larger and more dramatic changes call for an update of your plan.
To ensure that your estate plan reflects your currents needs and objectives, take the time to schedule a review and revision of your plan in the near future.
Contact Estate Planning Attorneys
For additional information, please download our FREE estate planning worksheet. If you have additional questions or concerns about the need to update your estate plan, or you wish to get started with a review and revision of your existing plan, contact the experienced estate planning attorneys at Nash Bean Ford & Brown, LLP by calling 309-944-2188 to schedule your appointment today.