As a Michigan estate planning law firm with offices in Troy and Shelby Township, we see firsthand how small oversights can create serious long-term problems for families. Estate planning requires careful decision-making, and Michigan law outlines specific requirements that must be followed for documents to be valid. Many individuals intend to protect assets, pass property smoothly, and prevent family conflict, yet mistakes in planning often lead to outcomes that are very different from what they expected. Taking the time to understand the rules and prepare clear legal documents can save families from uncertainty and unnecessary stress.
Michigan law offers several tools for structuring a sound estate plan, including wills, trusts, powers of attorney, and beneficiary designations. However, each of these tools must comply with the requirements of the Michigan estate laws. Issues often arise when documents are incomplete, improperly executed, outdated, or fail to account for changes in relationships or assets. When people assume a simple will or informal arrangement is enough, they risk leaving loved ones with avoidable legal and financial complications. Our goal is to help clients understand how to avoid these missteps and build a plan that reflects their true intentions.
Failing To Create A Legally Valid Will
One of the most common mistakes is not having a will at all. Under MCL 700.2519, the state determines how property is distributed when someone passes away without a valid will. This process, known as intestate succession, may allocate property to relatives in ways that do not match personal preferences.
Even when a will exists, it must meet the requirements of MCL 700.2502, which sets standards for signatures and witnesses. A will that does not comply can be rejected, leaving the estate to be distributed under Michigan’s default laws instead of personal wishes.
Not Updating Documents After Major Life Changes
Life evolves, and estate plans must evolve with it. Events such as divorce, marriage, the birth of a child, the acquisition or sale of property, or losing a loved one all require updates to existing documents. Under MCL 700.2801, certain provisions involving former spouses are automatically revoked after divorce, yet asset titles, beneficiary designations, and trust language still need active revision.
Clients often assume old documents still work, but outdated plans frequently cause delays, disputes, or unwanted outcomes. Regular reviews ensure documents accurately reflect current circumstances.
Improper Beneficiary Designations
Another frequent mistake involves failing to check or update beneficiary designations on life insurance policies, retirement accounts, and payable-on-death assets. These designations override instructions in a will under Michigan law. If the listed beneficiary is someone no longer intended to receive the asset, the account will still pass to that individual. Naming minors without a trust can also create court-supervised complications.
Ensuring all designations align with the broader estate plan prevents conflict and preserves control over asset distribution.
Relying Only On A Will Instead Of A Trust
A will is important, but in many cases, it is not enough. Assets that pass through a will must go through probate, which can be time-consuming and public. Michigan law allows the use of revocable living trusts to streamline the process and provide more privacy and control.
A trust must be properly funded to work. Titling assets incorrectly or failing to transfer property into the trust is one of the most damaging oversights. The trust may reflect the right intentions, but it fails to function because assets were never moved into it.
Not Establishing Powers Of Attorney
Estate planning is not only about what happens after passing. It also determines who can make decisions if someone becomes unable to manage personal or financial affairs. Michigan recognizes durable powers of attorney for financial matters and patient advocate designations for medical decisions.
Failing to create these documents may force family members to seek court involvement, adding stress and delay. Proper designations allow loved ones to act quickly and confidently.
Leaving Ambiguous Instructions Or Handwritten Notes
Some clients attempt to write their own instructions, use online templates, or rely on handwritten notes. Michigan does allow holographic wills under MCL 700.2502(2), but only if specific requirements are met. Even when technically valid, such documents often contain unclear language or incomplete information, which can lead to disputes or litigation.
Clear, professionally drafted documents ensure that intentions are fully understood and honored.
FAQs About Avoiding Estate Planning Mistakes In Michigan
What Happens If Someone Passes Away Without A Will In Michigan?
Michigan’s intestate succession laws determine who receives property when no valid will exists. The distribution follows a statutory order based on family relationships rather than personal preferences. This process can cause unwanted outcomes, especially when blended families or long-term partnerships are involved.
How Often Should Estate Planning Documents Be Updated?
A review every three to five years is recommended, along with updates after any major life event. Divorce, marriage, relocation, new children, or buying and selling property all warrant reviewing and revising documents to ensure accuracy and legal compliance.
Are Handwritten Wills Accepted In Michigan?
Michigan recognizes handwritten wills if they meet specific statutory requirements. Although permitted, handwritten wills often lead to confusion or legal challenges. A carefully drafted will is far more reliable and reduces the risk of conflict.
Can A Trust Help Avoid Probate In Michigan?
A properly funded revocable living trust can help bypass probate, allowing assets to transfer smoothly and privately to beneficiaries. However, if assets are not transferred into the trust, probate may still be required.
Why Are Beneficiary Designations So Important?
Beneficiary forms control how certain assets pass, regardless of the instructions in a will. When designations are outdated or incomplete, the asset may go to someone unintended. Regularly reviewing these forms helps maintain consistency within the overall estate plan.
Do All Estates Need A Power Of Attorney?
Yes. Powers of attorney ensure that trusted individuals can manage financial and medical decisions in the event of incapacity. Without these documents, families may need court appointments, which can be time-consuming and emotionally difficult.
Call Boroja, Bernier & Associates For Help Protecting Your Estate
Effective estate planning prevents future problems and ensures that wishes are carried out clearly and legally. Boroja, Bernier & Associates helps individuals and families create strong, legally sound plans that comply with Michigan law and avoid the most common pitfalls.
For guidance on building or updating an estate plan, call the Michigan estate planning attorneys at Boroja, Bernier & Associates at 586-991-7611 to schedule a consultation. With offices in Troy and Shelby Township, the firm proudly serves clients throughout Oakland County and Macomb County.
