There are still a few things in life that can last a lifetime. A solid set of hand tools purchased decades ago are likely still great performers if properly maintained. Heirloom quality furniture is always in style even when it outlasts its original owners. It seems to be increasingly true that most things will need to be updated and replaced. Televisions and radios seem to be designed to last only a few years before they malfunction.

A good way to think of an estate plan is like the trusty set of hand tools. It can last a lifetime but it must be properly updated and maintained. The estate plan that you may have created 25 years ago may still be serviceable but to be effective and useful it should receive some occasional attention, just like the tools must occasionally be oiled and sharpened.

There are many reasons to review and occasionally update your estate plan, but they generally fall into two main categories. The first is the changing nature of our financial and familial lives. It is likely that both the amount and type of assets that you won now are quite a bit different than those you owned a decade or two ago. The purchase or sale of real estate and change in financial accounts requires that your estate pan be updated to reflect those changes. Our families also change, and with them your estate planning goals may need to be revisited to ensure that they are still relevant.

The other category is the changing legal and statutory landscape, particularly in regard to protecting your assets from unnecessary tax expenses. You have likely heard about the changes in the gift and estate tax exemption amounts. Depending on your situation there may be opportunities to reduce the amount of your estate that will go to the IRS. Because of the flux in these laws it is important to review your plan to ensure you are protecting your assets as well as possible.

Source: Forbes, "Tax Pros Tweak Advice About Big Gifts To Family," Deborah Jacobs, Jan. 10, 2012