When people create an estate plan, often times they fail to realize that it is a living entity and as such needs to be updated as your life progresses and changes. While the majority of estate plans do not have to worry about paying the federal estate tax, this shouldn’t be an excuse from determining the impact it may have on your strategy.
One routine estate planning technique when the estate tax exemption was smaller was to leave everything that could pass free of the estate tax to the decedent’s children and the rest to the spouse. If you still have that provision in your will, your kids could inherit your entire estate while your spouse would be disinherited.
You should review your estate plan to make sure the changes won’t have other negative consequences or to investigate whether or not the way you have your assets set to be passed on is in the best interest of your beneficiaries.
New Tax Laws Mean it is Time to Review Your Estate Plan
