The end of the calendar year is a good time to take stock of financial matters and gear up for the new year. And one of the things you may want to focus on between now and the end of the year is estate planning.
LegalZoom reports that only 45% of Americans have put estate planning documents in place. If you want to end 2025 with more peace of mind, here are three key estate planning tasks you may want to tackle before 2026 begins.
1. Review your new assets and beneficiaries — and update your documents accordingly
In the course of the past year, you may have acquired different assets. Perhaps you bought a boat, or you purchased a painting of value. Or it may be that you bought some new stocks or opened a new brokerage account.
Even if you have a will or trust in place already, it’s important to make sure that those documents are updated to account for any new assets you may have acquired. You’ll also need to decide who will be the beneficiary of those assets.
But it’s not just newly acquired assets you have to think about. It may be that you want to add new beneficiaries to your will, trust, or accounts, such as the grandchild who was born earlier this year. Take the time to go through everything so you feel confident you’ve covered all of your bases.
2. Make sure you have all of the right legal documents in place
Some people might think that writing a will means taking care of all of their estate planning needs. In reality, there are a number of estate planning documents you might need to put in place to check off all of the right boxes.
One thing you may need aside from a will, or in place of one, is a living trust. The nice thing about having a living trust is that it does not have to go through the process of probate like a will does. That could spare your loved ones a big hassle, not to mention the cost of probate.
It’s also important to have a power of attorney in place. In the event that you’re unable to make financial decisions for yourself, you’ll want to have a designated person who you trust to make those decisions for you.
Additionally, you’ll want to make sure you have the right medical documents in place. An advance directive allows you to outline your wishes for medical care in the event that you become unable to communicate those decisions or make them for yourself.
It’s also a good idea to have a HIPPA release in place. This is a document that grants permission for your medical providers to share healthcare information with a specific person. For example, if you want your child to be able to make decisions related to your care, it’s important that they be able to have access to your medical records, test results, and other key health information.
3. Make sure your digital footprint is covered
You may know to designate beneficiaries for your financial accounts and share login information for those accounts with the people you trust the most. But don’t forget about your non-financial digital accounts.
You may have social media profiles you would want a loved one to manage or shut down upon your passing. So it’s important to give the right people access to those accounts.
You might also have a blog or online photo album you would want preserved. If your loved ones don’t know about it and don’t have access to it, that could be a problem. Make a list of all of your accounts along with passwords so that your loved ones can keep your legacy alive (or protect your privacy) as you’d want them to.
Tackling these key estate planning tasks before 2025 comes to an end could help you approach 2026 with more peace of mind. And if you give yourself a deadline for handling these tasks, you may be more likely to stay on track. You don’t, however, have to handle your estate planning tasks all on your own, especially if you find the process overwhelming. That’s where we can help.
At the Law Offices of James A. Miller, P.C., we understand how important it is for you and your family to have a comprehensive estate plan. We also know that in the course of estate planning, certain tasks can easily get overlooked. That’s why we’re here to offer you guidance every step of the way. Call our Worcester law office today at (508) 799-8885 or reach out online to schedule a consultation and learn more about the estate planning services we offer. We’ll be happy to answer any questions you have so that you’re able to go into the new year feeling good about your estate plan.