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A codicil is a legal document that allows you to modify your existing will without starting anew, typically being shorter than the original will as it only reflects the changes. You should create a codicil when you need to add or adjust beneficiaries or executors, add details to a section, include new provisions, or incorporate new property. However, a new last will may be better when a significant event affects multiple provisions, such as marriage, changes in beneficiary distribution, or substantial changes in assets like acquiring real estate or winning the lottery.