Estate planning is one of the most important things you can do for your family, yet many people make avoidable mistakes that can undermine their intentions. Here are five common estate planning mistakes we see - and how to avoid them.
1. Not Having an Estate Plan at All
The most common mistake is simply not having a plan. Without one, Florida intestacy laws determine who inherits your assets, which may not reflect your wishes at all. Every adult should have, at minimum, a will, durable power of attorney, and healthcare surrogate designation.
2. Failing to Update Your Plan
Life changes. Marriage, divorce, births, deaths, moves to a new state, and changes in assets all warrant a review of your estate plan. We recommend reviewing your plan every three to five years or after any major life event.
3. Not Funding Your Trust
Creating a revocable living trust is only the first step. If you don't transfer assets into the trust (known as "funding"), those assets may still go through probate. We help ensure your trust is properly funded after creation.
4. Overlooking Digital Assets
In today's world, your digital life - email accounts, social media, online banking, cryptocurrency - needs to be part of your estate plan. Without proper provisions, your family may be unable to access important accounts.
5. DIY Estate Planning
While online templates exist, estate planning involves complex legal and tax considerations that vary by state. A mistake in your documents could be costly for your family to fix - if it can be fixed at all. Working with an experienced attorney ensures your plan is legally sound and tailored to your specific situation.
At Zacharia Frey PLLC, we help families in Southwest Florida avoid these and other estate planning pitfalls. Contact us to schedule a consultation and ensure your plan properly protects your family.
Frequently Asked Questions
How often should I update my Florida estate plan?
We recommend reviewing your plan every three to five years, or sooner after any major life event - marriage, divorce, the birth of a child or grandchild, a death in the family, a significant change in assets, or a move to a new state. Florida law and federal tax law also change periodically, and what was optimal five years ago may no longer be the best structure today.
Do I need a will if I have a revocable trust?
Yes - almost always. Even with a fully funded trust, you should have a 'pour-over will' that catches any assets you forgot to put in the trust during your lifetime. The pour-over will also lets you name guardians for minor children, which a trust cannot do. Skipping the will is one of the most common estate planning mistakes we see.
What does it mean to 'fund' a trust?
Funding a trust means actually transferring assets into it - re-titling your home deed, bank accounts, investment accounts, and other property into the name of the trust. Creating a trust document is only step one; if you don't fund it, the trust is just paper and your assets still go through probate when you die. Many DIY trusts fail for exactly this reason.
What happens if I die in Florida without a will?
Florida intestacy law decides who inherits your assets - and the result often surprises families. If you're married with no children, your spouse inherits everything. If you're married with children from a previous relationship, your spouse and children split the estate in ways that may not match your wishes. If you're single with no children, assets pass to parents, then siblings, then more distant relatives. Without a will, you have no control.
Are online estate planning services like LegalZoom safe to use?
Online templates can produce technically valid documents, but they can't account for Florida-specific rules (like the strict super-power initialing requirements for powers of attorney), your unique family circumstances, tax considerations, or how the documents work together. We regularly see DIY plans that fail at exactly the moment they're needed - and the cost to fix them after death is many times what it would have cost to do them right the first time.
What digital assets should be included in an estate plan?
Email accounts, social media, cloud storage, online banking, brokerage accounts, cryptocurrency, domain names, loyalty points, photo libraries, and any digital business assets. Without proper authorization, your family may be locked out of important accounts or lose them entirely. Florida has adopted the Revised Uniform Fiduciary Access to Digital Assets Act (RUFADAA), which makes it possible - but only if your documents specifically authorize digital access.
Have Questions?
Schedule a consultation to discuss how this topic applies to your situation.
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