It’s the perfect time to think about some (realistic) New Year’s resolutions for 2022. Typically, many of us gravitate toward resolutions like losing weight, saving money, and traveling more. Reevaluating your estate plan may not seem as glamorous, but it serves as an achievable and important long-term goal for you and your family.
It’s Easier Than You Think
Estate planning may initially feel like a daunting undertaking, but once you put your mind to it, it’s easily achievable. All it takes is a few hours dedicated to preparing the necessary financial documents and preliminary phone calls with your attorney. Before you reach out to a lawyer to navigate the process, take some time to consider your financial goals and current relationships. A few of the questions to ask yourself:
- Who can I trust to be my long-term healthcare agent?
- What is the current state of my life insurance policy?
- How do I want my assets to be divided up amongst family members?
- Since the last time I made my estate plan, have there been changes in assets, family, relationships and the law?
If you’re having trouble asking yourself the right questions, or are confused about the best way to divide your estate, jot down specific questions to ask your lawyer.
The Future is Uncertain
If the past two years have taught us anything, life is unpredictable. While we cannot control the future, we can have a say in our finances and asset distribution. If something happens, the last thing we want is for these crucial estate planning decisions to be made for us or the people we love. It’s an unsettling thought, but even more so is the fact that if you don’t create a will, the state will create one for you.
The Holiday Season Makes Us Re-Evaluate the Importance of Family
If you had the opportunity to spend time with your family throughout the holidays, now is a good time to take advantage of an opportunity to lessen future potential conflicts. We all know stories of someone passing away unexpectedly and their families consequently getting ripped apart due to a lack of prior planning. Save yourself, and your family a world of pain by planning ahead.
What’s Important to You?
The holiday season, combined with another year coming to a close, prompts internal reflection within us. You may ask yourself questions such as, “Are my current wishes reflected in my estate plan? Do I need to make some changes? Have I appointed someone who knows my health care wishes if I were ever unable to communicate them?”
It’s Financial Planning Season Anyway
January 15 officially marks the beginning of tax filing season. You are likely already reviewing your bank statements, outstanding debt, and savings information. With all of your financial documents ready in one place, now is a great time to take care of your estate plan as well.
Estate Planning Preparation Applies to Everyone
Whether you already have an estate plan in place or haven’t started the process, your long-term financial goals and relationships evolve over time. You may have come up with an estate plan before a divorce, or the birth of another child. Maybe you’ve recently had a raise or bought a vacation house, or on the flip side, lost a job, or been diagnosed with a chronic disease. As significant milestones occur throughout your life, it’s imperative to revisit and update your estate plans.
Federal and state laws change frequently, so it is recommended that your estate plan and documents are periodically reviewed. SmolenPlevy Principals Jason Smolen and Daniel Ruttenberg can assist you in developing attainable goals for your estate and executing a strategic plan to ensure a secure and abundant future for you and your family.
About the Authors
Jason Smolen
Jason Smolen is a founding principal of SmolenPlevy. Smolen’s knowledge of complex estate and business issues has drawn the attention of ABC News, USA Today, E! Online, Realty Times and the Bank of America Small Business Online Community. Mr. Smolen is a graduate of the City College of the City University of New York and the George Mason University School of Law. Smolen also serves as a board member of a local citizens association and recently co-authored an article titled Why You Should Think About Spousal Limited Access Trusts (SLATS).
Daniel H. Ruttenberg
Daniel H. Ruttenberg, JD, CPA, LLM is a principal with the firm. Mr. Ruttenberg received his Bachelor of Science degree with a double major in Accounting and Finance from the University of Maryland. He earned his Juris Doctor with Honors from George Mason University School of Law and his Master of Laws in Taxation with Distinction from Georgetown University Law Center. Mr. Ruttenberg also served as the Director of the Fairfax Bar Association (FBA) for seven years. During this period, he was also elected president – the youngest in FBA history and served as a member of the Board of Directors for the Fairfax Law Foundation.
