Can a formula be written to have a date automatically update dependent on information in two other fields?

The effective date is the date the contract started, term is how long the  original contract is effective (12 months in the case above).  Based on this information does your formula hold true still?

What has to change in order for the expiration date to keep updating, in this case, every 30 days, until a termination date is entered or the status is changed to InActive?