What Happens to Your Estate Plan If You Move to Another State?
Individuals who create an estate plan expect it to work indefinitely; however, moving to another state might pose unanticipated challenges. If you have moved states for any reason, such as retirement, to be closer to family members, or to take up a new job, then you need to examine your estate plans.
Not all aspects of your estate plans will be impacted by a change in state, but some will be influenced by different state laws.
Your will may need to be updated
Often, the proper execution of a will in one state means that such a will is accepted in another state. Nevertheless, there are certain differences between probate laws from state to state. It may be that all the terms in the will under your former state’s law are no longer appropriate now that you live in another state.
There are, for example, executor laws, witness laws, elective share laws, and other laws that regulate the probate process, which can differ from state to state.
Trusts should be reviewed
When you have a revocable living trust or any other kind of trust, a move is a perfect opportunity to review the details of your trust. There could be certain references to the law in your old state of residence or some clauses that are no longer valid.
Also, if there was some real estate held in a trust, it is necessary to put any new real estate property acquired in your new state of residence into the title in order to keep the trust effective.
Powers of attorney and advance directives can cause problems
Reviewing your estate plan upon relocating is vital for several key reasons, one of which concerns powers of attorney and medical documents.
Financial and medical powers of attorney and advance medical directives can be honored from state to state. But due to potential legal uncertainties, some financial institutions, medical organizations, and others might be unwilling to honor documents signed under another state’s laws.
Updating these documents can avoid any potential delays in the event of an emergency.
State-specific planning considerations
Each state has its own laws that can influence your estate plan. For instance, Virginia has specific rules regarding probate, elective share, estate administration, and incapacity planning.
Another reason to reconsider your estate plan is that a change of residence creates new opportunities to use estate planning tools that were previously unavailable in the state where you lived.
Don’t assume your existing plan is enough
Moving to a new state is an important event, and your estate planning documents should be reconsidered. This is because even if your will, trusts, and powers of attorney remain legally enforceable, they do not necessarily provide the protections desired by the person making the estate plan.
It is, therefore, a good idea to revise your estate planning paperwork when you move to a new state so that you can guarantee your protection and that of your loved ones in line with the new state’s laws.
Talk to a Virginia Beach, VA, Estate Planning Lawyer Today
The Law Office of Angela N. Manz represents the interests of those who have recently moved to the State of Virginia and need to revise their estate plan. Call our Virginia Beach estate planning lawyers today to schedule an appointment, and we can begin discussing your next steps right away.