Planning for the future in an ever-changing present can be difficult. As your priorities, financial situation and even your family shifts, making sure your estate plan stays up to date with your current intentions is essential. The future is one area of your life where a set-it-and-forget-it mindset may not work well.
Estate planning is important for everyone, not just high earners. Regularly reviewing your trust and estate plans is important for carrying out your final wishes and posthumously providing for your family. By planning and making adjustments as necessary, you can minimize the emotional and financial strain on your loved ones.
Significant life events such as births, marriages, divorces or deaths can alter the structure of your family or your intentions for your estate. As your financial picture also changes through acquiring property, selling investments, starting a business or receiving an inheritance, your estate plan should adapt to reflect your current portfolio.
Ambiguities, or outdated tax and distribution provisions, can lead to family disputes after your passing. Estate planning and tax laws are frequently updated, so an annual review helps your plan take advantage of legal strategies to help minimize tax liabilities and maximize asset protection.
Keep the following in mind as you review your trust and estate plan moving forward.
Create a Checklist to Guide Your Annual Review
Before beginning to review your trust and estate plans, make a list to keep track of everything you need to accomplish along with items you need to look over and potentially update. You may want to add the below items to your list.
» Beneficiary designations: Are all beneficiaries correct, and do they still align with your current wishes?
» Trustees, executors and powers of attorney: Are the people you’ve chosen still willing, able and the best fit for these roles?
» Asset coverage: Does your plan cover all significant assets, including recently acquired ones?
» Healthcare directives: Are medical decisions and guardianships up to date with your values and preferences?
» Tax considerations: Do you need to adjust for changes in estate tax thresholds or state-specific laws?
» Incapacity: Have you made plans for your care during possible periods of incapacity?
Key Changes for 2026: Gift & Estate Tax Exemptions
One of the most significant changes for trust and estate planning in 2026 is the permanent increase of the federal gift and estate tax exemption established by the 2017 Tax Cuts and Jobs Act (TCJA). In 2026, the current exemption increased to $15 million per individual and $30 million for married couples. The new exemptions will provide substantial relief to many families who would have been subject to a 40% federal estate tax had the exemption reverted to its pre-TCJA levels of approximately $6-7 million. The Generation-Skipping Transfer (GST) tax exemption, which applies to transfers to grandchildren or more remote descendants, is also near $15 million.
Have a Discussion With Your Family.
Discussing your estate plan with your family may seem daunting, but it can help alleviate confusion or stress in the event of your passing. Use these suggestions to guide conversations with loved ones.
» Choose the right time and place. Plan a calm, uninterrupted setting such as a family meeting or casual gathering to discuss your intentions. Avoid holiday gatherings or high-stress times if possible. However, if a holiday is the only time you have access to some family members, consider scheduling a conversation before or after the main family activity.
» Frame it as caring for the family. Emphasize that you intend to make things easier for your loved ones by removing uncertainty and avoiding disputes.
» Be selective about sharing details. Share broad strokes about your goals and choices rather than itemizing every aspect. This provides clarity without overwhelming loved ones or creating tension between family members.
» Engage a professional. Having your estate attorney or financial advisor present during family discussions can lend neutrality and help answer complex questions.
Even the most complicated financial situations can become manageable with a step-by-step approach and collaboration with an experienced financial advisor. Thinking about what will happen to your family after the end of your life may be difficult, but it is a vital part of making sure your loved ones are taken care of after your death. Regularly reviewing your trust and estate plans allows you to provide clarity about your intentions and provide comfort for your loved ones.
Raven Bass is a senior trust officer for Arvest Wealth Management, specializing in trust, estate and IRA administration and planning. In coordination with her clients’ investment and tax advisors, she is passionate about helping her clients with their financial planning and has been administering trusts, estates and investment accounts for nearly 20 years. Bass can be reached at [email protected].
