From Thanksgiving dinner to New Year’s Eve, the holidays bring Los Angeles families together, often with several generations under one roof. It is also one of the best times of year to take care of something that is easy to postpone: your estate plan.
Between family gatherings and year-end tax deadlines, this season offers a natural opportunity to start important conversations, update your documents, and make gifts that count. Here are five practical ways to use the holidays to protect the people you love.
1. Use the Gathering to Start the Conversation
Talking about wills and trusts over pie is not anyone’s idea of festive. But when your family is together in one place, it is the perfect time to talk about aging parents, the family home, and what happens if someone becomes ill. You do not have to share dollar amounts. Start by sharing:
- Who you have chosen as your successor trustee, executor, and agent under your power of attorney
- Where your estate planning documents are kept
- Your wishes for medical care and for meaningful heirlooms and keepsakes
Surprises are what turn grief into conflict. When family members understand the plan in advance, there is far less room for confusion and resentment later.
2. Make Sure Your Documents Still Match Your Life
A will or trust that was perfect five years ago may be out of date today. Marriage, divorce, a new grandchild, a death in the family, a move, or the purchase of a new home or business can all change what your plan should say. Take a few minutes this season to ask yourself:
- Are the people I named as trustee, executor, guardian, and agent still the right choices, and still able to serve?
- Is my home actually titled in my living trust? A trust only controls the assets that have been transferred into it.
- Do I have a power of attorney and an advance health care directive in place?
If you have not reviewed your plan in several years, or have never created one, now is the time. Learn more about wills and revocable living trusts.
3. Update Your Beneficiary Designations
Retirement accounts, life insurance policies, and payable-on-death bank accounts pass to the people named on the account paperwork, not according to your will or trust. An outdated designation, such as a former spouse, a deceased parent, or no contingent beneficiary at all, can send assets to the wrong person or force them into probate.
Year-end is a great time to log in to each account and confirm that every designation matches your current wishes. Our page on beneficiary designations explains why this small step matters so much.
4. Make Smart Year-End Gifts
Many families give generously during the holidays, and with a little planning, gifts can also be part of a thoughtful estate plan. Keep these points in mind:
- Annual exclusion gifts. In 2026, you can give up to $19,000 to each of as many people as you like without using any of your lifetime exemption or triggering a gift tax return. Married couples can generally combine their exclusions for $38,000 per recipient, though splitting gifts may require filing a return. The exclusion resets every January 1 and does not carry over, so December 31 is the deadline for 2026 gifts.
- Larger gifts. Gifts above the annual exclusion generally require a federal gift tax return and count against your lifetime exemption, which is $15 million per person in 2026. California does not currently impose its own estate or inheritance tax.
- Think before gifting property. Giving away a home or appreciated assets can lead to unexpected income tax and property tax consequences, including the loss of the “stepped-up” tax basis your heirs would receive if they inherited the property instead. Talk with an attorney before you transfer real estate.
Learn more about estate and gift tax planning.
5. Plan for Incapacity While Everyone Is Together
The holidays are also when many adult children notice changes in an aging parent, such as memory lapses, trouble managing finances, or declining health. Without a durable power of attorney and an advance health care directive, a family may have to ask the court to appoint a conservator, a process that can be public, slow, and costly.
Putting these documents in place while your loved one still has the capacity to sign them lets them choose who will make financial and medical decisions on their behalf. If a guardianship or conservatorship is already a concern, an attorney can explain your options.
Your Holiday Estate Planning Checklist
- Talk with family about who is named in your plan and where your documents are stored
- Review your will, living trust, power of attorney, and advance health care directive
- Confirm your home and major accounts are properly titled in your trust
- Update beneficiary designations on retirement accounts and life insurance
- Complete any annual exclusion gifts before December 31
- Write down your wishes for family heirlooms, and keep a secure list of online accounts and passwords
- Schedule a plan review with an estate planning attorney
Frequently Asked Questions About Holiday Estate Planning
Is it too late to create an estate plan before the end of the year?
No. Simple plans can often be completed relatively quickly, while more complex estates take longer. The sooner you begin, the more likely you are to have your plan in place before the new year.
Do I need a will or a living trust in California?
It depends on your assets and goals. A will is a foundational document, but it must go through probate. A living trust can help your family avoid probate, which is a major consideration for Los Angeles homeowners. An attorney can help you decide what is right for you.
Does California have an estate tax?
California does not currently impose a state estate or inheritance tax. The federal estate tax applies only to estates above the lifetime exemption, which is $15 million per person in 2026, but tax laws can change, so it is wise to review your plan regularly.
Give Your Family the Gift of a Plan
The most meaningful gift you can give this holiday season is peace of mind. The Law Office of Mitchell A. Port helps Los Angeles families create and update wills, trusts, powers of attorney, and healthcare directives that reflect what matters most. With a background as a former IRS attorney, Mitch Port also brings valuable insight into the tax side of your plan.
Call us today at (310) 526-3433 or contact us online to schedule your free phone consultation before the new year.
This article is for general informational purposes only and is not legal or tax advice. Estate, gift, and tax laws and dollar amounts change, and every situation is different. Reading this article does not create an attorney-client relationship. Please consult an attorney about your specific circumstances.