When it comes to updating an existing trust we so often hear the phrases: “I have been meaning to do this for so long” or “It is on my list.” But, it is generally recommended that you review your estate planning documents every five years to make sure they still reflect your current wishes. If you know there are changes to be made and you would like to go over your plan with an attorney you can schedule an appointment to do so by telephoning our office.
The following are a few of the issues to consider when reviewing your trust and related documents
Review
With respect to your Trust, Financial Power of Attorney, Health Care power of Attorney, Will and any additional planning documents, ask yourself the following questions:
- Are the people you have named as successor trustees, powers of attorney and health care agents still the people you want to serve for you in the capacities they are named?
- Has there been a change in any family circumstances that may affect your documents?
- Are the individuals you have named as beneficiaries still correct?
- Has the size of your estate increased or decreased significantly since you created your trust?
- Are you sure that the successor trustees and agents whom you have named are able and willing to serve?
Funding your trust
You need to make sure that all assets which can legally be owned by your trust are, in fact, owned by and properly titled in the name of your trust. When it comes to funding your trust, ask yourself the following questions:
- Have you acquired new assets since you created your trust that might not be properly titled?
- Have you transferred all assets which can be owned by the trust to the trust by taking title in your name as Trustee of your trust?
- Has all of your real estate been transferred to you as Trustee of your trust?
- If you own real property outside of California, has it been transferred to the trust?
- Have you deeded a property out of your trust to refinance it and not deeded the property back into the trust?
Assets which cannot be owned by your trust
There are special assets such as IRAs, qualified retirement plans and commercial annuities which either cannot or need not be owned by your trust. For these assets you need to make sure that the beneficiary designations are up to date and reflect your current wishes, and you should ask yourself:
- Do you have a beneficiary designation form on file with the asset company for each asset?
- Do you have an alternate beneficiary designated for each asset?
- Is a deceased spouse or ex-spouse still named as the beneficiary of any of these types of assets?