On Veterans Day, we honor the men and women who have served in our armed forces. We also recognize the families whose lives have been shaped by that service.
For many veterans, taking care of others has been a lifelong responsibility. Estate planning is one way to continue caring for the people who depend on you—by making decisions now that will give them guidance when they need it.
You do not have to tackle everything at once. A good place to start is with three questions.
Does Your Estate Plan Reflect Your Life Today?
You may have signed a will or other legal documents during your military service and carefully filed them away. But how much has changed since then?
Perhaps you have married, divorced, welcomed children or grandchildren, purchased a home, or lost someone you had named to act for you. The person you chose years ago to manage your affairs may no longer be available—or may no longer be the person you would choose.
Having documents is a good start. Reviewing them helps you determine whether they still accomplish what you want.
Pull out your existing plan and look at who will inherit, who will manage things, and whether the instructions still make sense for your family.
Who Could Help If You Became Unable to Handle Things Yourself?
Estate planning also addresses what happens during your lifetime.
If an illness or injury left you unable to manage your finances or communicate your health care wishes, who would step in? Would that person have the necessary authority?
A durable power of attorney can authorize someone you trust to handle specified financial and legal matters. An advance health care directive allows you to name someone to make health care decisions and record your wishes about care.
These documents deserve the same attention as your will or trust. Think about whether the people you named are willing and able to serve, and whether you have named appropriate alternates.
Then have a conversation with them. Written instructions are useful; understanding your wishes makes those instructions more meaningful.
Do Your Beneficiary Designations Match Your Plan?
Life insurance and retirement accounts are easy to overlook when reviewing an estate plan.
These assets generally pass according to beneficiary designations, rather than the instructions in your will. Updating your will or trust does not automatically update the beneficiary forms on your accounts.
Review both your primary and contingent beneficiaries. If your family circumstances have changed, confirm what the insurance company or plan administrator actually has on file.
If you want to provide for a minor child or someone who receives means-tested public benefits, get advice before naming that person directly. The way an inheritance is left can matter as much as the amount.
Make Your Plan Easier to Carry Out
Once you have reviewed your documents, make sure someone you trust knows where to find them.
Keep important account information, insurance records, and military service records organized and accessible to the appropriate person. Consider leaving instructions for medals, uniforms, photographs, letters, and other belongings that carry personal or family significance.
Those items have stories attached to them. Recording a few of those stories can be a gift in itself.
This Veterans Day, I extend my gratitude to our veterans and their families. If reviewing your estate plan has been on your list for some time, choosing one of these steps is a manageable place to begin.
The Law Office of Maureen Lyons, PC helps California individuals and families create and review estate plans that reflect their circumstances, their wishes, and the people who matter to them.