One man thought that having a will drafted in 1998, purchasing life insurance policies when the children were teenagers and living in a state with no state inheritance tax meant his estate planning was done. When he died, the family was confronted with the flaws in his thinking. The article, “Layin’ it on the Line: That old will could cost your family thousands,” from St. George News, spells out how outdated estate plans create problems, drain assets, delay distributions and fracture families when they need each other most.

For people sitting on substantial home equity from years of appreciation and retirement accounts built through long careers, the gap between perceived planning and effective, up-to-date planning has never been more costly. However, everything can be addressed—as long as it’s done while people are still living.

People who live in states where there’s no inheritance tax or state estate tax often have a false sense of security. If the state isn’t going to tax anything, why bother having an estate plan? Have a will prepared, name some beneficiaries and all will be well. However, this isn’t how things work.

First, the federal estate tax still exists for large estates. If the home has appreciated, couples have held steady jobs with generous 401(k) matches and saved, it’s not unusual to reach the current high federal estate tax limit. Homes purchased in some areas have doubled or tripled in value, and unless they have been removed from the taxable estate and placed in a trust, they can bring an estate very close to or over the federal exemption.

Probate courts in many states have become slower and more expensive as population growth overwhelms certain jurisdictions. Case filings are increasing as baby boomers age into their 80s and beyond. This graying of America is accelerating, as is the burden on the courts.

In many cases, the first spouse to die may not reach the federal level. However, the second spouse’s death may lead to estate taxes. Surviving spouses should consult an estate planning attorney to discuss filing for estate portability. This is when the estate of the first spouse to die files a federal estate tax return (IRS Form 706) to elect portability, even if the estate is below the federal filing threshold. If this is done, the surviving spouse can inherit any unused portion of their deceased spouse’s estate and gift tax exemption.

The most common estate planning disaster doesn’t involve wills or trusts. Instead, it concerns outdated beneficiary designations on retirement accounts, life insurance policies and payable-on-death accounts. Most people fill out forms once and never revisit them. Anyone who has been married, divorced and remarried needs to check all their accounts to ensure that the beneficiary designations are correct.

When beneficiary designations are not updated, the result is a second spouse and children from a second marriage battling over assets, with outcomes determined by out-of-date paperwork. Going to court over beneficiary designations is rarely successful. The person named on the document will inherit the asset, as the beneficiary designation overrules the decedent’s will and wishes.

Strategic beneficiary designations are critical to successful estate planning. Naming a surviving spouse on tax-deferred accounts usually allows tax-free transfers. Naming trusts as beneficiaries allows for controlled distribution, preventing burdensome taxes to heirs in peak earnings years. Splitting beneficiaries between spouses, children and charities can optimize tax outcomes.

Assets placed in properly structured trusts can avoid probate, provide asset protection and ensure that the right people receive the assets. Don’t think of estate planning as planning for death—think of it as planning to secure the future for those you love, a worthwhile investment.

Book a call now with Strong Law, PLLC to take the next step.

Reference: St. George News (Feb. 13, 2026)“Layin’ it on the Line: That old will could cost your family thousands”