Estate planning can be confusing and complicated, especially if you receive conflicting advice from family members or online sources. Unfortunately, even relatively minor mistakes can have serious consequences, some of which might spark legal disputes between your loved ones. If you’re preparing your estate, here are a few common mistakes to stay away from.

What Are the Most Common Estate Planning Missteps?

1. Not Using Transfer-on-Death Beneficiaries

IRAs, homes, vehicles, and most financial accounts allow you to name a transfer-on-death beneficiary, who will automatically take ownership of those assets if something happens to you. If you don’t name a beneficiary, those assets will likely be transferred to your estate, where they’ll have to go through the probate process. Naming a beneficiary ensures your loved ones have access to your resources and that they go to the person you intend.

2. Leaving Assets to a Minor

You may have set aside funds for your children, but minors aren’t legally allowed to own assets. If you leave property to minor children, the court will likely name someone as a conservator to manage the property for their benefit. The conservator will have to prepare regular statements for the court, which can be troublesome and expensive.

Adding a trust to your estate plan is the best way to transfer property to your children. Assets held in trust don’t have to go through probate, and you can set conditions on when your children receive their inheritances.

3. Dividing Your Estate by Percentages

Leaving an equal share of your estate to each of your children may seem simple and fair, but it can have unintended consequences. The executor may have to sell off important assets if funds can’t be divided evenly, and your children may fight over who should receive important belongings.

A better approach is to name who should receive specific assets in your will. However, your estate planning documents will need to be regularly updated if you acquire or sell valuable property.

For over 40 years, Ibold & O'Brien has been providing personal service and detailed estate planning solutions for families across Geauga, Lake, Ashtabula, and Cuyahoga counties. Their experienced attorneys will walk you through the process and help you avoid common mistakes. Visit their website for more on their estate planning services, and get tips and advice on Facebook. To speak with an attorney in Hubbard, call (330) 651-6062. Dial (440) 285-3511 to schedule a consultation at their office in Chardon, OH.