Mid-Year Estate Plan Review: What to Check and Why

Mid-Year Estate Plan Review: What to Check and Why

Most people create an estate plan and then file it away in a drawer. That's understandable—nobody wants to think about wills and trusts every day. But an estate plan that sits untouched for years can become dangerously outdated. A mid-year review is one of the simplest ways to make sure your plan still does what you need it to do.

At Dickey Law Group, we recommend reviewing your estate plan at least once a year—and mid-year is the perfect time. Here's what to look at and why it matters.

Life Changes That Trigger Updates

Life doesn't wait for you to update your paperwork. Any of these events should prompt an immediate review of your estate plan:

• Marriage or remarriage — Your new spouse may need to be added to your will, trust, and beneficiary designations. In Texas, marriage doesn't automatically revoke a prior will, but it can create confusion about community property rights.
• Divorce — Under Section 123.001 of the Texas Estates Code, a divorce automatically revokes provisions in your will that benefit your ex-spouse. But that doesn't cover everything—beneficiary designations on life insurance and retirement accounts are governed by federal law and the account contracts, not your will.
• Birth or adoption of a child — Your new child needs to be included in your plan. Texas law provides some protection for "pretermitted" children (those born after the will was signed), but relying on that default is risky.
• Death of a beneficiary or fiduciary — If someone named in your plan has passed away, you need to update immediately.
• Significant change in assets — Bought a house? Sold a business? Inherited money? Your plan needs to reflect your current financial picture.

Review Your Will and Trust Documents

Pull out your will and any trust agreements. Read through them with fresh eyes and ask:

• Are the beneficiaries still the people you want to receive your assets?
• Is the executor you named still willing and able to serve? What about your backup executor?
• If you have a trust, is the successor trustee still the right choice?
• Do the distribution percentages still make sense? If your family or financial situation has changed, the old allocations may not reflect your current wishes.
• Are there any specific bequests (like leaving a particular piece of jewelry or a bank account to someone) that no longer apply because the item has been sold or the person has passed?

Don't just skim the documents. Read them carefully. We regularly meet with clients who are surprised by what their own estate plan says—because they haven't looked at it in years.

Check Every Beneficiary Designation

This is one of the most overlooked steps in estate planning. Beneficiary designations on financial accounts override your will. That means if your will says your daughter gets your IRA, but the IRA beneficiary form still lists your ex-spouse, your ex-spouse gets the money. That's not a hypothetical—it happens all the time.

Review beneficiary designations on:

• Life insurance policies
• 401(k) and other employer retirement plans
• Traditional and Roth IRAs
• Annuities
• Bank accounts with payable-on-death (POD) designations
• Brokerage accounts with transfer-on-death (TOD) designations

Make sure every designation is current, and that your primary and contingent beneficiaries are who you want them to be. If you need to make changes, contact the financial institution directly—your attorney can't change these for you.

Verify Your Power of Attorney and Healthcare Directive

These are the documents that matter most during your lifetime. Your statutory durable power of attorney names someone to handle your finances if you can't. Your medical power of attorney and directive to physicians (living will) control your healthcare decisions.

Ask yourself:

• Is the person you named as your agent still someone you trust completely?
• Are they still capable and available? If they've moved across the country or developed health problems of their own, they may not be the best choice anymore.
• Have you named backup agents? If your primary agent can't serve, you need a second option—otherwise, your family may have to go to court for a guardianship.

Under Texas law, a power of attorney must be signed while you're mentally competent. You can't wait until you need it to create it.

Assess Changes in Property and Assets

Take stock of everything you own. Compare it to what's listed in your estate plan documents. Common gaps we see include:

• New real estate that hasn't been titled in the name of your trust
• New bank or investment accounts that weren't added to your trust or don't have beneficiary designations
• Business interests that have changed in value or structure
• Digital assets — online accounts, cryptocurrency, intellectual property—that aren't addressed in your plan at all

If you have a revocable living trust, assets that aren't properly titled in the trust's name won't be governed by the trust. They'll go through probate instead, which defeats one of the main purposes of having the trust.

Schedule a Meeting with Your Attorney

A mid-year review isn't something you have to do alone. In fact, it's better if you don't. An estate planning attorney can spot issues you might miss—like changes in Texas law, new tax rules, or structural problems in your plan.

At Dickey Law Group, we make estate plan reviews straightforward. Bring your documents, tell us what's changed in your life, and we'll identify what needs to be updated. It's a small investment of time that can save your family enormous stress later.

Contact Dickey Law Group today to schedule a consultation. We serve families throughout The Woodlands, Spring, Conroe, and the Houston metro area. Call (832) 521-4414.