Creating an estate plan should never be a “one and done” task. Life is constantly bringing changes, and those changes could trigger a need for changes to your living trust or other estate planning documents. Keeping your trust up-to-date is crucial to ensure that it continues to meet your needs as your financial or family situations change. Oklahoma City estate planning lawyers explain how to update your living trust in Oklahoma.
How Do I Update My Living Trust?
Updating a trust is not as complex as you might think. The specific process typically depends on the type of update that you need to make. For small updates, a trust amendment will suffice. By creating a simple amendment, you can make specific changes to your trust, such as appointing a new trustee or modifying distributions to your beneficiaries.
If you need to make bigger changes, then you will likely need a trust restatement. This is done by creating a completely updated version of your trust. The legal framework of your original trust stays in place while the details of the trust get replaced with a new version. Regardless of which update method you use, you should make sure that your updates follow Oklahoma trust law and are properly signed, witnessed, and notarized.
How Often Should I Update My Living Trust?
There is no single rule that dictates how often you should make changes to your trust. Most individuals should review their trust documents at least every 3 to 5 years to ensure that it is still in alignment with your wishes. However, you should update your trust immediately after any major life event or milestone, such as:
- Marriage or divorce
- Birth or adoption of a child
- Significant change in financial position
- Acquisition of major assets, such as a home or business
- Death of a family member
- Relocation to another state
Performing periodic reviews of your trust is always a good idea, and reviewing your estate plan after any major life events will help ensure that your plan remains current and keeps your family protected.
Avoiding Common Trust Mistakes
Updates or changes to your trust can have unintended consequences, especially if you do not seek help from an experienced trust attorney in Oklahoma City. Some of the most common pitfalls to watch out for include:
- Failure to notify your trustee or beneficiaries
- Forgetting to update related documents, such as a will or power of attorney
- Unintended tax consequences
- Retaining older versions of your trust
Once you update your trust, older versions should typically be destroyed. Keeping these older copies can cause confusion and could potentially open the door to legal challenges in the future.
Get Help Updating Your Living Trust Today
If you need to make updates to your living trust or other estate planning documents, contact the experienced team at Helton Law Firm today. We have a deep understanding of Oklahoma trust law, and we can help ensure that your updates align with your goals and wishes while also following all applicable laws. Contact us now to schedule an initial consultation and let us put our experience to work for you.