Top three estate planning mistakes and provides a practical guide for creating a thorough estate planning checklist for Macomb County residents. If a Macomb County resident dies without a valid estate plan, Michigan intestacy laws determine how their assets will be distributed. This could mean property in Warren, Sterling Heights, or Clinton Township goes to relatives you never intended to benefit. Probate can consume months or even years, and the public process exposes your estate to scrutiny. Creating an estate plan ensures your wishes are followed, reduces stress for family members, and protects your privacy.
Michigan’s Estates and Protected Individuals Code (EPIC) outlines strict rules for wills, trusts, powers of attorney, and healthcare directives. Following these rules guarantees that your documents remain legally valid and enforceable. Ignoring these requirements risks partial or complete invalidation of your estate plan.
Mistake 1: Relying on a Will Alone
Many residents assume that drafting a will completes their estate planning. While a will is essential, it often fails to fully protect your family or avoid probate in Michigan.
In Michigan, all wills must pass through probate unless you place assets in a trust or use other probate-avoidance strategies. Probate can lock assets for months or years, and the public record exposes financial information about your estate.
Creating a revocable living trust offers a more effective solution. It allows assets to transfer directly to beneficiaries outside of probate and keeps matters private. To work correctly, you must retitle property and accounts in the trust’s name. Skipping this step reduces the trust’s effectiveness.
Although a trust handles asset distribution efficiently, a will still acts as a backup. It addresses assets outside the trust and allows you to name guardians for minor children. Combining a will with a trust, powers of attorney, and healthcare directives creates a comprehensive plan that protects your interests both during your life and after death.
Mistake 2: Overlooking Key Legal Documents
Estate planning extends beyond wills and trusts. Many Macomb County residents fail to include legal documents that protect them during their lifetime.
A durable financial power of attorney allows someone you trust to manage your finances if you cannot. Without this, your family may need to petition the court for guardianship or conservatorship, which takes time and money.
Similarly, a healthcare power of attorney, known in Michigan as a patient advocate designation, authorizes someone to make medical decisions on your behalf. Without it, your family may face difficult decisions without legal authority, delaying care or creating outcomes that do not reflect your wishes.
Additional documents, including HIPAA authorizations, living wills, and advance directives, ensure your medical and financial instructions are followed. Skipping these documents can create serious complications when unexpected health issues arise.
A complete estate planning checklist for Macomb County residents should include:
Last Will and Testament
Revocable Living Trust (if applicable)
Durable Financial Power of Attorney
Healthcare Power of Attorney / Patient Advocate
HIPAA Release / Medical Directives
Updated Beneficiary Designations
These documents work together to protect your family during life and after death, ensuring your estate plan achieves its goals.
Mistake 3: Neglecting Beneficiary Designations and Updates
Even with a will or trust, many residents fail to update beneficiary forms. In Michigan, beneficiary designations on retirement accounts, life insurance policies, and payable-on-death accounts override a will or trust. If outdated, these forms can direct assets to unintended individuals.
Life events such as marriage, divorce, the birth of a child, or acquiring property make updates essential. Many people draft their estate plan once and forget it, creating confusion, delays, and disputes among heirs.
Homeowners aged 40 to 70 should review their estate plan every three to five years, and immediately after major life changes. Checking accounts, retirement plans, insurance policies, and trust documents ensures your plan reflects your current circumstances and intentions.
Regular updates also allow you to comply with changes in Michigan laws, tax codes, and probate procedures. Staying proactive reduces litigation risks and keeps your family protected.
Creating Your Estate Planning Checklist in Macomb County
Start by gathering all assets and financial records, including property deeds, bank accounts, investment accounts, insurance policies, and personal belongings of value. Identify your beneficiaries and plan contingencies if your first choices cannot inherit.
Schedule a meeting with a qualified Michigan estate planning attorney who understands Macomb County probate procedures. They can draft or review your documents to ensure compliance with Michigan laws and help you avoid costly mistakes. Online forms and DIY templates rarely meet Michigan’s legal requirements and may leave your estate vulnerable.
Your checklist should include regular reviews and updates to verify that all documents and designations remain accurate. Communicate your plans clearly to family members to prevent disputes and ensure your estate is handled according to your wishes.
Frequently Asked Questions (FAQ)
What is the difference between a will and a trust in Michigan?
A will outlines asset distribution but must pass through probate, while a trust allows assets to transfer directly to beneficiaries outside probate. Trusts must be properly funded.
How often should I review my estate plan?
Review your plan every three to five years or after major life events like marriage, divorce, the birth of a child, or acquiring property.
Do beneficiary designations override my estate plan?
Yes. Michigan law prioritizes account beneficiary forms over wills and trusts. Regular updates are critical to avoid unintended distributions.
What happens if I become incapacitated without powers of attorney?
Without financial and healthcare powers of attorney, your family may need court approval to manage your affairs, which is costly and time-consuming.
Is estate planning only for wealthy people?
No. All homeowners, especially those aged 40–70, benefit from estate planning to protect assets, provide legal guidance, and secure their legacy.