Steps to Take After Finalizing Your Estate Plan
Creating an estate plan is a significant step toward securing your family’s future and ensuring your wishes are honored. But signing the documents isn’t the final chapter—it’s the beginning of an ongoing process. Regular reviews and updates are essential to keep your estate plan aligned with your current circumstances.
Whether you’re crafting an estate plan for the first time or revisiting an existing one, The Stejkowski Law Firm is here to guide you. Learn more about how I can assist you by visiting stejlaw.com.
Sign, Witness, Store, and Protect Your Will
Your Last Will and Testament is a cornerstone of your estate plan. It’s crucial to ensure its validity and safekeeping to prevent any complications down the road.
Ensure Your Will Is Valid
Under Illinois law (755 ILCS 5/4-3), a valid will must meet specific criteria:
- Written Document: The will must be in writing.
- Signature: You, the testator, must sign the will.
- Witnesses: It must be attested by at least two credible witnesses who saw you sign the will.
While Illinois doesn’t require witnesses to be disinterested parties, choosing witnesses who aren’t beneficiaries can help avoid potential conflicts of interest.
Safely Store Your Will
Keeping the original copy of your will in a secure location is vital. Consider these options:
- Fireproof Home Safe: Store it at home but protect it from fire or water damage.
- Safe Deposit Box: Place it in a bank’s safe deposit box, ensuring your executor has access.
- Trusted Individual: Leave it with a trusted family member or friend.
Inform your executor and a few trusted individuals about the will’s location. In Illinois, the original will must be filed with the clerk of the court in the county where the deceased resided within 30 days of death, regardless of whether probate is necessary. Without the original, the process can become more complicated.
Communicate With Interested Parties
Open communication with those involved in your estate plan helps ensure your wishes are carried out smoothly.
Notify Appointed Individuals
Inform the people you’ve designated in your estate plan, such as:
- Executors
- Trustees
- Healthcare Proxies
- Financial Power of Attorney Agents
This gives them the opportunity to understand their responsibilities or to decline the role if they’re unable to serve.
Consider Informing Beneficiaries
While not required, discussing your estate plan with beneficiaries can set expectations and reduce potential disputes. If you prefer to keep details private, that’s perfectly acceptable. Weigh the pros and cons, and choose the approach that feels right for you.
Fund Any Trusts You’ve Established
Creating a trust is a powerful way to manage and protect your assets, but it’s essential to fund it properly.
Transfer Assets Into the Trust
Assets must be retitled in the name of the trust to be governed by its terms. This may involve:
- Real Estate: Preparing and recording new deeds to transfer property into the trust.
- Financial Accounts: Changing ownership or beneficiary designations on bank accounts, investments, and retirement accounts.
- Personal Property: Assigning valuable personal items to the trust through a bill of sale or assignment document.
At The Stejkowski Law Firm, I prepare and record deeds for my clients to ensure that real estate is properly transferred into their trusts. Some assets may have restrictions or tax implications when transferring to a trust, so professional guidance is crucial.
Distribute and Store Essential Documents
Making sure your documents are accessible to the right people is just as important as creating them.
Provide Copies to Relevant Parties
- Healthcare Directives: Give copies to your primary care physician and include them in your medical records.
- Financial Powers of Attorney: Share copies with your bank or financial institutions.
- Trust Documents: Provide copies to your trustee and financial advisor.
Keep Originals Secure
Store original documents in a safe location known to your executor and trusted family members. While I don’t store client documents, I can advise you on best practices for safeguarding your important papers.
Review and Update Beneficiary Designations
Certain assets bypass your will and go directly to named beneficiaries.
Regularly Check Designations
Review beneficiary information on:
- Life Insurance Policies
- Retirement Accounts
- Payable-on-Death Bank Accounts
Ensure that your designations are up-to-date and reflect your current wishes.
Regularly Review and Update Your Estate Plan
Life is full of changes, and your estate plan should reflect them.
Reevaluate After Major Life Events
Update your plan when you experience:
- Marriage or Divorce
- Birth or Adoption of a Child
- Significant Financial Changes
- Relocation to a New State
- Death of a Beneficiary or Appointed Individual
Even if there haven’t been significant changes, it’s wise to review your estate plan every three to five years to ensure it still aligns with your goals.
