Summer is the perfect time to take a break from your everyday routine to see new places and reset. But with travel comes the possibility of unexpected events. That is why it’s crucial to ensure your estate plan is up to date and accessible before you leave.
If something were to happen and you haven’t executed an estate plan, your loved ones would be left to navigate a lengthy and costly probate process. Without distribution instructions from an estate plan, your assets would be distributed according to your state’s laws of intestacy, which may not reflect your personal wishes. Having a plan in place allows individuals of your choosing to manage your affairs and distribute your assets in the way you intended. Estate planning functions much like insurance- it exists in the background and offers peace of mind in case of the unexpected. Here is a checklist to go through before your next trip:
Individuals Nominated in Active Roles- Review the individuals you’ve nominated in your documents. This includes agents under your powers of attorney, executors, trustees, and those named in your HIPAA authorization. If your documents were drafted years ago, some of these individuals may no longer be appropriate choices due to changes in relationship, residence, or capacity.
Guardian Designations for Minor Children- If you have children under the age of 18, it is important to revisit any guardianship appointments outlined in your Last Will and Testament. These roles may be divided, where one individual is responsible for the care of your children and another individual or financial institution oversees the management of assets held for their benefit.
Beneficiary Designations- Beneficiary designations on retirement accounts, life insurance policies, and investment accounts should be carefully reviewed. These designations override provisions in your will or trust and should be consistent with your overall estate plan. Be sure to review the beneficiaries listed in your will and trust. It’s also worth examining how your estate is structured to be distributed, and confirming that the allocation of assets aligns with your current intentions.
Asset Titling- If you established a revocable living trust, verify that it is properly funded. Assets such as real estate, non-qualified investment accounts, business interests, and mineral rights may be titled in the name of the trust to avoid probate.
Update Documents: If a review of your estate planning documents reveals discrepancies or outdated provisions, consult your drafting attorney to make updates.
Digital Assets- In today’s world, access to online accounts is increasingly critical. Consider creating a secure list of your digital assets and login credentials, which can assist your executor or trustee in the event of incapacity. Additionally, create a directory of professional contacts, such as your estate planning attorney, CPA, and financial advisor, so that your nominated agents can easily connect with those familiar with your plan.
Communicate with Key Individuals- Have a conversation with at least one trusted individual who is named in your plan. Let them know where your estate planning documents and digital asset list are stored and how to access them.
While these tasks may not be the typical items on your pre-travel checklist, ensuring your estate plan is in order is just as important as packing your bags. Taking the time to review your documents provides peace of mind, knowing that your wishes are clearly outlined and your loved ones are protected. Before your next trip, reach out to a GPTC trust attorney for a review, or consult your drafting attorney to make any necessary updates.
