If you’ve recently moved to Oregon, whether for work, retirement or any other reason, updating your estate plan likely isn’t at the top of your to-do list. However, if you have an estate plan that was created in your former home state, it’s a good idea to review it with an estate planning professional as soon as possible.
Too many people put off estate planning until “later,” and never get around to it. By having an estate plan, even if it’s simply a will, you’re ahead of most Americans. Now all you may need to do is make some adjustments to the documents to ensure that they remain valid.
Depending on where your estate plan was created, there may be more changes that can help you ensure that you minimize tax liability. Let’s look at just a couple.
Estate tax
While most states don’t have their own estate tax, Oregon does. Under Oregon law, the first $1 million of an estate is exempt from this tax. Above that, the tax rate is graduated based on the value of the estate. Note that this is separate from the federal estate tax.
If you’re moving from a state without an estate tax, you may need to look at strategies for avoiding that tax so that your loved ones, your favorite charitable organizations and other beneficiaries can get more of your assets.
Advance directive and health care representative
Documents that detail wishes for continuing or discontinuing life-sustaining measures if you’re determined to be terminally ill or permanently unconscious vary by state. So do the documents where you name a representative or agent and give them the authority to advocate for your wishes and discuss your care with your medical team if you’re unable to do so for yourself.
It’s important to find out whether your documents are valid here in Oregon. This may also be time to rethink whether the representative you chose is still appropriate if they now live some distance away.
These are just two of many things that should be reviewed. For example, if you moved from any of our neighboring states, which are all community property states (unlike Oregon), some changes may be necessary to your estate plan. Having experienced legal guidance here in Oregon is crucial to ensuring that your plan is valid and meeting your needs in your new home state.