Year-End Checklist of Estate Planning Documents for New Jersey Residents

Don’t let the new year catch you unprepared. For New Jersey residents, the end of the year is a critical, time-sensitive opportunity to review and update your essential estate planning documents. From ensuring your Last Will and Testament aligns with current family dynamics to protecting your autonomy with a Durable Power of Attorney, proactive planning avoids costly court battles. We outline the three key documents New Jersey families must audit now to manage assets, bypass probate, and potentially mitigate Inheritance Tax exposure. Secure your future and ensure your wishes are honored under New Jersey law.

As the year draws to a close, New Jersey residents have a critical, time-sensitive opportunity to strengthen their financial security and protect their families. Reviewing your core estate planning documents is essential to ensure they align with New Jersey law and your current wishes.

1. Last Will and Testament & Revocable Living Trust

These foundational documents direct how your assets are distributed after your death and appoint your fiduciary (Executor/Trustee).

Why now? The end of the year is the perfect time to ensure these documents reflect any recent changes in your family structure (births, deaths, marriages, or divorces) or financial goals. For those utilizing a Revocable Living Trust to avoid the New Jersey probate process, confirming the trust is properly funded (assets titled in the trust’s name) before year-end is crucial to its effectiveness.

2. Durable Power of Attorney (POA) and Healthcare Directive

These are your key incapacity planning tools, designating who will manage your finances and make medical decisions for you if you become unable to do so.

Why now? Without a valid Durable POA and Healthcare Directive, your family may be forced to initiate a costly, stressful, and public New Jersey Guardianship proceeding in the Superior Court to gain authority. Proactively executing or updating these documents now ensures your wishes are honored and keeps the decision-making power out of the court’s hands.

3. Review of Beneficiary Designations

Beyond your Will, accounts like IRAs, life insurance policies, and Transfer-on-Death (TOD) accounts pass directly to named individuals.

Why now? New Jersey retains the Inheritance Tax, which is based on the relationship between you and your beneficiary. A year-end audit of these forms is vital to ensure they align with your overall plan and, importantly, that non-exempt beneficiaries (like siblings or friends) are addressed in the most tax-efficient manner possible under New Jersey law. These non-probate transfers override your Will, so they must be accurate.

At Zager Fuchs, Andrew Krantz, Esq., is an experienced attorney specializing in Wills, Trusts, Estates, and Probate. Andrew can guide you through these estate planning documents and provide peace of mind as you head into the new year. Contact Andrew today to schedule your year-end review.