A will is the foundation of your estate plan. This document outlines how you want to divide your assets when you die, but many people do not have this basic estate planning document.
According to Forbes, more than half of Americans over the age of 55 have not made a will. If you have plans to make a will soon, there are several times you should update it throughout your life, so it continues to reflect your wishes.
1. When you have a child
When you have your first child, pull out your will and update it. In your will, you can name a guardian who will care for your child if you unexpectedly die. This also gives you the chance to list your child as a beneficiary.
2. When you want to change executors or beneficiaries
If your executor dies or you change your mind about your executor because of personal or other reasons, make this change in your will. The same applies to the beneficiaries listed in this document.
3. When you experience a change in net worth
Whenever you experience a major change in your net worth, spend time updating your will. For example, if you received a large inheritance, you should revisit your will to account for this new wealth.
In addition to these life changes, you should review and update your will on a regular basis. Take your will out and look it over approximately once a year to ensure it remains an updated document.