Making a will is one of the most important steps in estate planning. It guarantees your assets go to the right people and that your wishes are honored. Many people, however, make mistakes that can cause problems for their loved ones.
Let’s look at the biggest mistakes to avoid when creating a will.
Not Having a Will at All
One of the worst mistakes is not having a will. Many assume their assets will automatically go to family members, but that isn’t always the case. Without a legal document, state laws decide who gets your property. This can lead to unwanted outcomes, legal battles, and stress for your loved ones.
If you pass away without a will, the court distributes your estate based on intestacy laws. This means the government—not you—decides who inherits what. In some cases, assets might even go to distant relatives instead of the people you intended to support.
Using Generic Online Templates
Online will templates may seem convenient, but they often fail to cover specific legal requirements. Every state has different laws about how a will should be written and executed. A generic document may not hold up in court, which can cause unnecessary complications for your heirs.
A poorly drafted will can lead to challenges from family members or delays in probate. It’s always best to have an attorney review your estate plan to ensure it follows the law and reflects your wishes.
Failing to Update Your Will
Life changes, and so should your will. Many people forget to update their documents after major events such as marriage, divorce, the birth of a child, or the death of a beneficiary. An outdated will can create confusion and may not reflect your current wishes.
Imagine naming your child and their spouse as a beneficiary, and then they get divorced. If you forget to update your Will, your former in-law could still inherit, even if that’s not what you wanted. Your Will and estate plan should evolve as your life evolves.
Not Naming a Reliable Executor
An executor is responsible for carrying out your wishes. Choosing the wrong person can lead to delays, financial mismanagement, or even disputes among family members. Pick someone responsible, organized, and willing to handle the role.
Your executor should also be someone who can work well with lawyers and financial institutions. If they are not familiar with these processes, it may be helpful to name a professional as a co-executor.
Overlooking Beneficiary Designations
Certain assets, such as life insurance policies and retirement accounts, pass directly to the beneficiaries named on those accounts. If your will contradicts these designations, it may not matter. Always review your beneficiary choices to ensure they align with your estate plan.
Many people forget to update these documents after potential life events. Failing to check beneficiary designations can result in unintended heirs receiving your assets.
Failing to Consider Taxes
Many people forget that estate taxes and inheritance taxes can impact what their heirs receive. While most estates are not subject to federal estate taxes, state taxes may still apply. Proper planning can help minimize these costs and ensure more of your assets go to your loved ones.
Forgetting to Plan for Digital Assets
You have online accounts, social media profiles, and digital assets. If you don’t leave clear instructions, these accounts may be lost, locked, or misused. Add a plan for managing your digital assets to your estate plan.
Here’s what you should do:
- List your important online accounts and passwords.
- Name someone to manage your digital assets.
- Give instructions for handling your social media accounts and email.
When you plan for digital assets, you protect important information and control how others handle your online presence
Whether creating your first will or updating an existing estate plan, our team at Voelkl Law PC is here to help. We will work with you to guarantee your wishes are honored and your loved ones are protected. Call our firm at 716-633-4030 to set up a consultation.
