5 Estate Planning Mistakes Florida Families Make

Estate planning is one of the most important steps a Florida family can take to protect their assets, honor their wishes, and spare loved ones unnecessary stress. Yet many Orlando and Central Florida residents either have no plan at all or have a plan with critical flaws that will cause problems when it matters most. As estate planning attorneys, we see the same mistakes repeatedly. Here are the five most costly estate planning errors — and how to avoid them.

Mistake #1: Not Having Any Estate Plan

The most common estate planning mistake is the simplest: doing nothing. Many people assume that estate planning is only for the wealthy, or that they will "get to it later." The reality is that dying without a will or trust in Florida means dying "intestate" — and your assets will be distributed according to Florida's intestacy laws under Chapter 732 of the Florida Statutes, not according to your wishes.

Florida's intestacy rules can produce results that most families would never want. For example, if you die without a will and have children from a prior relationship, your surviving spouse may not inherit the family home outright — instead sharing ownership with your children. Without a healthcare surrogate or durable power of attorney, your family may be forced to seek emergency court intervention if you become incapacitated, a costly and emotionally draining process.

Every adult in Florida — regardless of wealth or age — should have at minimum: a will or revocable trust, a durable power of attorney, a healthcare surrogate designation, and a living will.

Mistake #2: Failing to Update Your Estate Plan After Major Life Changes

Having an estate plan is not a one-time event. Life changes constantly, and your estate plan must keep pace. We frequently encounter clients in Orlando whose wills or trusts were drafted 15 or 20 years ago and reflect a completely different life situation. Common triggers that should prompt an estate plan review include:

• Marriage or remarriage: Your new spouse may not inherit as intended without updated documents.

• Divorce: Under F.S. 732.507(2), a divorce revokes provisions in favor of a former spouse in a will — but this does not automatically update beneficiary designations on life insurance or retirement accounts.

• Birth or adoption of children or grandchildren: You need to ensure new family members are included and proper guardianship designations are in place.

• Relocation to Florida: If you moved to Florida from another state, your existing estate plan may not comply with Florida law. Florida has unique homestead descent rules under F.S. 732.4015 that restrict how the family home can be devised, which can override an out-of-state will.

• Death of a named beneficiary, executor, or trustee: Your plan should name successors and alternatives for every critical role.

We recommend that Central Florida clients review their estate plans every three to five years, and immediately following any major life event.

Mistake #3: Not Funding Your Trust

A revocable living trust is only as effective as the assets placed inside it. Many Orlando families invest in having a trust drafted but then never transfer their assets — their home, bank accounts, investment accounts, and business interests — into the trust's name. This is known as failing to "fund" the trust, and it is one of the most common and costly estate planning errors we see.

An unfunded or partially funded trust does not avoid probate for the assets left out. If your home is still titled in your individual name rather than in your trust, it will have to go through probate when you die, regardless of what your trust document says. Proper funding requires re-titling real estate (through a deed recorded in Orange County or the relevant county), changing account ownership at your bank and brokerage, and updating beneficiary designations to name the trust where appropriate.

Florida's homestead exemption rules add an additional layer of complexity. The homestead property tax exemption under Florida law may be affected by how the property is titled, and restrictions on devising homestead property under F.S. 732.4015 must be carefully navigated when funding a trust with the family home.

Mistake #4: Ignoring Beneficiary Designations on Retirement Accounts and Life Insurance

Beneficiary designations on retirement accounts (IRAs, 401(k)s, 403(b)s) and life insurance policies override whatever your will or trust says. A will that leaves everything to your children is powerless if your IRA still names your ex-spouse as the primary beneficiary.

Common beneficiary designation errors include:

• Naming a deceased person as beneficiary, which forces the account into probate

• Naming a minor child directly, which requires a court-supervised guardianship to manage the funds

• Failing to name a contingent beneficiary, leaving the account exposed to probate if the primary beneficiary predeceases you

• Not coordinating retirement account beneficiaries with the overall estate plan to minimize income taxes under the SECURE Act

Coordinating beneficiary designations with your overall estate plan is essential — and it requires a review of every account and policy you own.

Mistake #5: Not Having a Healthcare Surrogate or Durable Power of Attorney

Many people focus exclusively on what happens at death and overlook the equally important question of what happens if they become incapacitated during their lifetime. Two documents are essential for managing this risk:

• Durable Power of Attorney: Authorizes a trusted person (your "agent") to manage your financial affairs if you cannot do so yourself. Florida's Durable Power of Attorney Act (Chapter 709, Florida Statutes) governs these documents and requires specific statutory language to be effective.

• Healthcare Surrogate Designation: Authorizes a trusted person to make medical decisions on your behalf if you are unable to communicate. This is separate from a living will, which expresses your wishes regarding life-prolonging procedures.

Without these documents, your family may be required to file a guardianship proceeding in Florida circuit court to obtain legal authority to manage your affairs or make medical decisions. Guardianship proceedings are expensive, time-consuming, and emotionally difficult — a burden that can be entirely avoided with properly drafted incapacity planning documents.

We strongly urge every Orlando and Central Florida adult to have current, Florida-compliant incapacity planning documents in place. This is especially important for seniors, but no one is too young to prepare for the unexpected.

Don't Wait to Protect Your Family

Estate planning mistakes are preventable with the right legal guidance. At Yergey & Yergey P.A., our experienced Orlando estate planning attorneys help Central Florida families avoid these common pitfalls and build estate plans that truly protect their loved ones. Whether you need a will, trust, power of attorney, or a comprehensive review of your existing plan, we are here to help. Call us today at (407) 843-0430 to schedule a consultation. Your family's future is worth protecting.