5 Common Estate Planning Mistakes You Can Avoid

5 Common Estate Planning Mistakes You Can Avoid

Estate planning gives you control over what happens to your assets and your care, and it spares your family from unnecessary stress. At Vargas Law in Orlando, our estate planning attorney regularly sees a handful of missteps that create avoidable delays, disputes, and extra costs. Below are five of the most common mistakes, why they matter under Florida law, and how to avoid them.

• Picking The Wrong People To Act For You

Your plan is only as strong as the people who carry it out. A personal representative (executor), successor trustee, or agent under a power of attorney should be organized, financially responsible, and able to communicate with beneficiaries during a difficult time. In Florida probate, a will lets you name a personal representative to administer your estate; if you don’t, a court will appoint one under state rules, which may not match your preference. Choosing someone merely to avoid hurt feelings can lead to family friction and stalled administration. The Florida Bar’s consumer guidance underscores that wills control who administers your probate assets, so choose thoughtfully and document that choice correctly.

How to avoid it?

Create a short list of qualified candidates, then walk them through the duties and your expectations, and provide name backups. If you have business interests or real estate holdings across counties, think about co-fiduciaries who bring complementary skills.

• DIY Paperwork Or Missing Florida’s Signing Formalities

Even a well-written plan can fail if it’s not executed correctly. Florida requires strict formalities for wills: the testator signs at the end of the document, and two witnesses sign in the presence of the testator and each other. Courts scrutinize these steps, and errors can invalidate the will.

Florida also has specific execution rules for powers of attorney, which involve two witnesses plus a notary acknowledgment, and health care surrogate designations, which constitute two witnesses, with at least one not a spouse or blood relative, and the surrogate cannot act as a witness. The Florida Bar likewise emphasizes following the exact formalities for a will to be valid in probate.

Why does it matter?

If a will is deemed invalid, Florida’s intestacy rules decide who receives your probate assets, not you. A defective power of attorney or health directive may leave loved ones without authority to help if you’re incapacitated.

How to avoid it?

Use Florida-compliant documents and sign them with the right witnesses and a notary where required. Keep originals in a safe, findable place and let your fiduciaries know where they are.

• Letting Beneficiary Designations And Titles Fall Out Of Sync

Retirement accounts, certain brokerage accounts (transfer on death), and life insurance pass by beneficiary designation, not by your will. Those designations usually override what the will says, which means an old form can derail a carefully drafted plan. FINRA cautions that a transfer-on-death or other beneficiary document supersedes your will and urges periodic reviews with your financial institutions. The Consumer Financial Protection Bureau also encourages survivors to review and update designations after major life events.

Why does it matter?

A former spouse or an estate, instead of an individual, can end up as the beneficiary, triggering taxes, creditor exposure, or probate delays.

How to avoid it?

Once a year, and after marriage, divorce, birth, or death, confirm who’s on file for each account, align designations with your will or trust, and use proper custodian/trustee language if minors are involved.

• Overlooking Taxes, Titles, And Funding

Good planning anticipates taxes and mechanics. Florida does not impose a state estate tax for decedents dying on or after January 1, 2005. However, the federal estate tax may apply above federal thresholds. The IRS notes that estates of decedents who die in 2025 have a basic exclusion amount of $13,990,000, increasing to $15,000,000 for 2026 under recent federal updates. In lifetime planning, the annual gift tax exclusion is $19,000 per recipient for 2025.

Taxes aren’t the only issue. If you create a revocable trust but never fund it, by re-titling accounts or executing new deeds, the assets may still go through probate, defeating the trust’s purpose. Similarly, naming your estate or trust as the beneficiary of retirement accounts without advice can cause adverse tax results or slower access for heirs.

How to avoid it?

Confirm how each asset passes, such as title, beneficiary, or probate, then complete trust funding steps, and coordinate with your CPA and financial advisor on tax-efficient transfers.

• Skipping Incapacity And Final Arrangements Planning

Estate planning is not just about what happens after death. Florida law lets you designate a health care surrogate to act for you and access your health information; with proper wording, authority can become effective immediately or upon a physician’s determination of incapacity. For financial decisions, a durable power of attorney, executed with Florida’s witness and notary requirements, avoids the need for a guardianship if you can’t act.

Families also face immediate decisions about funerals and disposition. Under the FTC’s Funeral Rule, you’re entitled to itemized price lists and key disclosures from funeral providers, information that helps families make clearer choices and avoid unexpected fees.

How to avoid it?

Make sure to complete health care surrogate and HIPAA releases, a living will if desired, and a durable power of attorney. Write down your preferences for services, either burial or cremation, and memorial instructions, and tell your decision-makers where those wishes are recorded.

How To Keep Your Plan Current And Effective?

Review after life changes

Marriage, divorce, the birth or adoption of a child, a significant diagnosis, or the death of a named beneficiary or fiduciary should trigger an immediate update. The CFPB’s guidance for surviving spouses highlights updating beneficiary designations and core estate documents after a loss.

Document access and communication

Share where originals are stored, how to access digital accounts, and who your advisors are. You can set up a consultation with an experienced estate planning attorney to help you map out what to prepare in case you’re in a bind.

Work with Florida-focused counsel

Florida’s execution rules and probate procedures are specific; getting them right up front prevents problems later.

Florida-Focused Help On Your Estate Planning

Estate planning should feel manageable and clear. Vargas Law serves individuals and families across Orlando and Central Florida with wills, trusts, beneficiary coordination, and incapacity documents drafted to meet Florida’s legal standards. Contact us and schedule a consultation today!