Many baby boomers never think twice about estate planning. Here’s why: they created an estate plan early in life, so they don’t see any reason to revisit the plan now that they are closing in on (or have passed) retirement age.
Unfortunately, this approach is a big mistake. If you are a baby boomer, it is a good idea to review your estate plan with an eye toward your current situation and the future.
Here are some things to consider if your estate plan hasn’t been updated lately.
- Go beyond drafting a will. Learn more about the many estate planning documents that can help you and your family in the event of your incapacity. For example, consider assigning powers of attorney or creating a living will.
- Make changes as your life changes, such as if you go through a divorce or your spouse passes away before you.
- Review your choice for the executor of your estate, making sure that the person you named earlier is still the person you want to be in charge today.
- Think about how your estate plan relates to your retirement goals. Do you have enough income or assets for yourself, while also ensuring that your heirs can receive property?
- Learn more about long-term care and how to cover the cost of it. For example, is it possible to make some adjustments to your estate plan so you can qualify for Medicaid? In combination with other estate planning tools, Medicaid can be a way of covering the costs of long-term care.
These are just a few of the many strategies baby boomers can consider when taking on the estate planning process. If you haven’t updated your plan in a while, you might want to speak with an attorney who handles these matters on a regular basis.