Wednesday, May 04, 2011

Houston Trust Lawyer Discusses Estate Plan Changes for 2011 and Beyond

As a Houston Trust Lawyer, this is something which I am seeing more and more in 2011, and it is a big mistake: lawyers and families not ensuring there is a plan in place for regular communication as the laws and tax code change. And, as we have seen this year ... that is inevitable.
 
There are, obviously, a few issues in play here:
 
1) Some lawyers don't have a "team" in place to serve the needs of families.

This creates a "less than ideal" circumstance for a family who wants active management, as things inevitably slip through the cracks.

These solo lawyers have to spend so much time working "in" their practice, that they don't have the time (or often, inclination) to make sure assets are owned properly (which means your plan will fail!) or that they are up to date on the changes which come through every year. This leaves new opportunities untouched, or worse...it can create plans which work for 2010...but not for 2011 (or 2020).

And then what happens if your Houston trust lawyer retires or dies?
 
2) What happens when things change in the life of your family?

Unfortunately, even when there IS a team approach in place, there is no previously-agreed-upon plan for communication when the laws inevitably change, or when family dynamics also become different.

Make sure that your lawyer will notify you when, in fact, there are changes to the tax or legal code, and that they keep in regular communication with you otherwise.
 
3) Does the planning fee include a regular review of your plan?

If not, then you will be faced with having to initiate reviews yourself, and having to pay additional fees for the privilege, at that.

In fact, the optimum scenario is when a lawyer will provide you with some sort of "estate planning maintenance" program, or membership group for ongoing service--which saves you money and gives you peace-of-mind over the course of your family's life together.