5 Estate Planning Mistakes Missouri Families Make
Estate planning mistakes are more common than you might think — and more costly. After helping hundreds of Missouri families protect their assets, Zach Lund has seen the same mistakes come up again and again. Here are the five most common estate planning mistakes Missouri families make and how to avoid them.
Mistake 1 — Waiting Too Long
This is by far the most common mistake. Most people know they need an estate plan. Most people put it off. Life gets busy, the topic feels uncomfortable, and it is easy to assume there will be more time later.
The problem is that estate planning only works if it is done before you need it. A will created the day before someone dies may be challenged in court. A power of attorney cannot be signed by someone who has already lost mental capacity. And no amount of planning can help a family after it is too late.
The best time to create your estate plan is now — when you are healthy, clear-headed, and have options.
Mistake 2 — Having a Will but No Trust
Many Missouri families create a will and consider themselves covered. In some situations that is true. But a will alone does not avoid probate. If you own real estate, have significant assets, or want your estate to stay private, a will by itself leaves your family with a long and expensive court process.
A revocable living trust combined with a pour-over will gives your family a much smoother path. Assets transfer directly to your beneficiaries without court involvement, without delays, and without your estate becoming public record.
Mistake 3 — Outdated Beneficiary Designations
This is one of the most damaging mistakes and one of the easiest to avoid. Beneficiary designations on life insurance policies, retirement accounts, and bank accounts override your will entirely. It does not matter what your will says — the asset goes to whoever is named on the beneficiary designation form.
Common problems include an ex-spouse still listed as a beneficiary, a deceased person still listed, or a minor child named directly on an account with no trust in place to manage the funds.
Review every beneficiary designation you have at least every three to five years and after every major life event.
Mistake 4 — Not Having Powers of Attorney
A will and a trust deal with what happens after you die. Powers of attorney deal with what happens while you are alive but unable to make decisions for yourself.
Without a durable financial power of attorney no one automatically has the legal authority to manage your finances if you become incapacitated — not even your spouse in many situations. Without a healthcare power of attorney your family may be unable to make medical decisions for you or even access your medical information.
Getting powers of attorney in place is one of the simplest and most important things you can do as part of your estate plan.
Mistake 5 — Creating a Trust but Not Funding It
This mistake catches a lot of Missouri families off guard. They spend the time and money to create a revocable living trust — and then never actually transfer their assets into it. The trust exists on paper but holds nothing.
A trust only avoids probate for the assets that are actually titled in the name of the trust. Real estate, bank accounts, investment accounts, and other assets need to be retitled in the trust's name. This process is called funding the trust and it is an essential step that is easy to overlook.
An experienced estate planning attorney will walk you through the funding process and make sure your trust actually does what it is supposed to do.
How to Avoid These Mistakes
The common thread running through all five of these mistakes is the same — estate planning that is incomplete, outdated, or never finished. The solution is to work with an experienced Missouri estate planning attorney who can make sure your plan is complete, properly executed, and actually funded.
Lund Law Offices helps families in Lee's Summit and throughout the Kansas City metro area avoid these mistakes and build estate plans that work when their families need them most.
Call 816-875-2380 or schedule a free consultation online today.
What Is a Living Trust and How Does It Work in Missouri?
A living trust is one of the most powerful estate planning tools available to Missouri families — and one of the most misunderstood. If you have ever wondered what a living trust actually is, how it works, and whether you need one, this article has your answers.
What Is a Living Trust?
A living trust — also called a revocable living trust — is a legal document that creates a separate legal entity to hold your assets. You transfer ownership of your assets into the trust while you are still alive. You remain in complete control of those assets as the trustee. When you die your successor trustee distributes the assets directly to your beneficiaries according to the terms of the trust.
The word living means it is created during your lifetime. The word revocable means you can change it, update it, or cancel it at any time as long as you are mentally competent.
How Is a Living Trust Different From a Will?
Both a will and a living trust direct where your assets go when you die. The critical difference is how they get there.
A will goes through probate — the court-supervised process of validating your will and distributing your estate. Probate in Missouri takes months or years, costs money, and becomes public record.
A living trust bypasses probate entirely. Your successor trustee distributes your assets directly to your beneficiaries without any court involvement. The process is faster, less expensive, and completely private.
Who Controls the Trust?
You do — completely. When you create a revocable living trust you are typically the trustee, which means you manage all the assets in the trust just as you always have. You can buy and sell property, move money between accounts, and make any changes you want.
You also name a successor trustee — the person who takes over management of the trust when you die or if you become incapacitated. This is usually a spouse, adult child, or trusted friend.
What Assets Go Into a Living Trust?
A living trust can hold almost any type of asset including real estate, bank accounts, investment accounts, business interests, vehicles, and personal property. The process of transferring assets into the trust is called funding the trust and it involves retitling those assets in the name of the trust.
This step is critical. A trust that is not properly funded does not avoid probate. Assets that were never transferred into the trust will still go through the court process.
Does a Living Trust Replace a Will?
No. Even with a living trust you still need a will. A pour-over will catches any assets that were not transferred into the trust before you died and directs them into the trust. It also lets you name guardians for minor children — something a trust cannot do.
Think of the trust as your main plan and the will as the safety net.
What Are the Benefits of a Living Trust in Missouri?
The benefits are significant for the right family. A living trust avoids probate entirely, saving time and money. It keeps your estate completely private — there is no public record of what you owned or who received it. It allows your assets to transfer to your beneficiaries almost immediately after your death. It provides for management of your assets if you become incapacitated. And it gives you precise control over how and when your beneficiaries receive their inheritance.
What Are the Drawbacks?
A living trust costs more to create than a basic will. It requires the additional step of funding — transferring your assets into the trust. And it requires ongoing maintenance as you acquire new assets.
For most Missouri families with real estate, significant savings, or a desire for privacy the benefits far outweigh the costs. For younger families just starting out a basic will may be sufficient for now with a trust added later as assets grow.
Is a Living Trust Right for You?
A living trust makes the most sense if you own real estate in Missouri or another state, you want to avoid probate and keep your estate private, you have a blended family or complex family situation, you have beneficiaries who need protection such as minor children or someone with special needs, or your estate is large enough that probate costs would be significant.
The best way to find out if a living trust is right for your situation is to talk to an estate planning attorney who can review your specific circumstances and give you a clear recommendation.
Talk to a Lee's Summit Estate Planning Attorney
Zach Lund helps Missouri families in Lee's Summit and throughout the Kansas City metro area understand their options and put the right plan in place. If you are considering a living trust or just want to understand whether it makes sense for your family, schedule a complimentary strategy session today.
Call 816-875-2380 or schedule a free consultation online.
Estate Planning for Young Families in Missouri
If you are in your twenties or thirties with a young family, estate planning is probably not at the top of your to-do list. You are busy. You are healthy. You have plenty of time. At least that is what most young parents tell themselves — right up until something happens and they wish they had planned sooner.
Here is the truth: young families in Missouri need estate planning more urgently than almost anyone else.
The Guardian Question
If you have minor children, this is the most important reason to have a will right now. A will lets you name a guardian — the person who would raise your children if both parents died.
Without a will, a judge makes that decision. The court will do its best to act in your children's best interests, but it has no idea who you would have chosen. It does not know your family dynamics, your values, or your wishes. It just picks someone.
Do you want a judge deciding who raises your kids? If not, you need a will.
Young Doesn't Mean Invincible
Nobody plans to die young. But accidents happen. Illness happens. The families who are most devastated by a lack of estate planning are often young families who assumed they had more time.
A complete estate plan takes one consultation and a short turnaround. The peace of mind it provides lasts a lifetime.
What Happens to Your Assets Without a Plan?
If you die without a will in Missouri your assets go through intestate succession. For a young married couple with children that means your spouse does not automatically get everything. Your children are entitled to a share — and that share is managed by the court until they turn eighteen.
At eighteen your children receive their full inheritance with no restrictions, no guidance, and no conditions. If you would prefer your children receive their inheritance at twenty-five, or in stages, or only for education and living expenses — you need a trust to make that happen.
Powers of Attorney Are Not Just for the Elderly
A durable financial power of attorney and a healthcare power of attorney are not just for older people. If you were in a serious accident tomorrow and were unable to communicate, who would make medical decisions for you? Who would pay your bills, manage your accounts, and keep things running while you recovered?
Without powers of attorney in place your spouse may not have automatic legal authority to do any of those things depending on how your accounts are set up.
Life Insurance and Beneficiary Designations
If you have life insurance — and most young parents should — make sure your beneficiary designations are up to date. If you named your parents before you had children, they may still be listed as your beneficiaries. Your spouse and children would get nothing.
Review every financial account, retirement account, and insurance policy you own. Make sure the beneficiaries are who you actually want them to be.
What Does a Basic Estate Plan for a Young Family Include?
For most young Missouri families a solid starting point includes a last will and testament naming guardians for your children, a durable financial power of attorney, a healthcare power of attorney, a living will or advance directive, and updated beneficiary designations on all financial accounts.
As your assets grow and your situation becomes more complex, a revocable living trust becomes worth considering to avoid probate and provide more control over how your assets are distributed.
The Best Time to Start Is Now
Estate planning is one of those things that feels urgent only after it is too late. The best time to put a plan in place is before you need it. For young Missouri families with children, that time is right now.
Lund Law Offices offers a complimentary strategy session for families in Lee's Summit and throughout the Kansas City metro area. No obligation — just a conversation about how to protect your family.
Call 816-875-2380 or schedule a free consultation online today.
What Is a Power of Attorney and Do You Need One in Missouri?
Most people have heard the term power of attorney. Far fewer actually have one. If you are doing any estate planning in Missouri, a power of attorney is not optional — it is one of the most important documents you can have. Here is everything you need to know.
What Is a Power of Attorney?
A power of attorney is a legal document that gives someone you trust the authority to act on your behalf. The person you appoint is called your agent or attorney-in-fact. They can make decisions and take actions in your name according to the terms of the document.
There are two main types of power of attorney that matter for estate planning in Missouri — a financial power of attorney and a healthcare power of attorney. Most people need both.
What Is a Financial Power of Attorney?
A financial power of attorney gives your agent the authority to manage your financial affairs. Depending on how it is written, your agent may be able to:
Pay your bills and manage your bank accounts
File your taxes
Manage your investments and retirement accounts
Buy or sell real estate on your behalf
Run your business if you own one
Apply for government benefits on your behalf
A durable financial power of attorney remains in effect even if you become incapacitated. That word — durable — is critical. A non-durable power of attorney automatically terminates if you become mentally incapacitated, which is exactly when you need it most. Always make sure yours is durable.
What Is a Healthcare Power of Attorney?
A healthcare power of attorney gives your agent the authority to make medical decisions on your behalf if you are unable to make them yourself. This includes decisions about treatment, surgery, medication, and end-of-life care.
Without a healthcare power of attorney, doctors may not be able to share your medical information with your family. Your loved ones may disagree about your care. In some cases a court may need to appoint a guardian to make decisions for you — a process that takes time and costs money.
A healthcare power of attorney puts someone you trust in charge. It eliminates confusion and conflict at the worst possible time.
What Is the Difference Between a Power of Attorney and a Living Will?
These two documents are often confused but they serve different purposes.
A power of attorney appoints someone to make decisions for you. A living will — also called an advance directive — states your own wishes about end-of-life care directly. It tells your doctors what you do and do not want if you are terminally ill or in a permanent vegetative state.
Both documents work together. A living will tells your agent and your doctors what you want. A healthcare power of attorney gives your agent the authority to carry those wishes out.
What Happens If You Don't Have a Power of Attorney in Missouri?
If you become incapacitated without a power of attorney in place, no one automatically has the legal authority to manage your finances or make medical decisions for you — not even your spouse.
Your family would need to go to a Missouri court and petition for a guardianship or conservatorship. That process takes time, costs money, requires court supervision, and the judge may not appoint the person you would have chosen.
A simple durable power of attorney avoids all of that entirely.
When Does a Power of Attorney Take Effect?
That depends on how it is written. Some powers of attorney take effect immediately when you sign them. Others are springing powers of attorney, meaning they only take effect when a triggering event occurs — such as a doctor certifying that you are incapacitated.
Your estate planning attorney can help you decide which type makes the most sense for your situation.
Can You Revoke a Power of Attorney?
Yes. As long as you are mentally competent you can revoke a power of attorney at any time. You simply need to notify your agent in writing and ideally notify any institutions that were acting on the document.
Who Should You Name as Your Agent?
Your agent should be someone you trust completely. They will have significant authority to act in your name so choose carefully. Most people name a spouse, adult child, sibling, or close friend.
You should also name a successor agent — a backup in case your first choice is unable or unwilling to serve when the time comes.
Do You Need a Power of Attorney If You Have a Trust?
Yes. A trust manages the assets that are titled in the trust's name. A power of attorney covers everything else — financial decisions, medical decisions, and assets that were not transferred into the trust. The two documents work together as part of a complete estate plan.
How Do You Get a Power of Attorney in Missouri?
A power of attorney must be signed by you and witnessed and notarized according to Missouri law. It is not a document you want to download from the internet and fill out yourself. An improperly drafted power of attorney may not be honored by banks, hospitals, or other institutions.
Working with an experienced estate planning attorney ensures your power of attorney is properly drafted, legally valid, and tailored to your specific situation.
Talk to a Lee's Summit Estate Planning Attorney
Zach Lund helps Missouri families in Lee's Summit and throughout the Kansas City metro area put the right documents in place — including wills, trusts, and powers of attorney. If you do not have a power of attorney, now is the time to get one.
Call 816-875-2380 or schedule a free consultation online today.
How to Avoid Probate in Missouri
If you have ever watched a family go through the probate process after losing a loved one, you know how stressful it can be. Court dates, paperwork, delays, legal fees, and everything happening at the worst possible time. The good news is that with the right estate plan in place, most Missouri families can avoid probate entirely.
Here is everything you need to know.
What Is Probate?
Probate is the court-supervised legal process that happens after someone dies. The court validates the deceased person's will, inventories their assets, pays outstanding debts and taxes, and distributes what remains to the beneficiaries.
Even if you have a will, your estate still goes through probate. A will does not avoid probate — it just gives the probate court instructions to follow.
Probate in Missouri typically takes anywhere from six months to two years depending on the complexity of the estate. During that time your beneficiaries may not have access to the assets. Everything becomes public record. And the costs — court fees, attorney fees, executor fees — come directly out of the estate.
Why Do Missouri Families Want to Avoid It?
There are four main reasons:
Time. Probate takes months or years. A trust transfers assets to your beneficiaries almost immediately after your death.
Cost. Probate fees in Missouri can add up to thousands of dollars depending on the size of your estate. Those costs reduce what your beneficiaries actually receive.
Privacy. Probate is public record. Anyone can look up what you owned, what you owed, and who got what. A trust keeps all of that private.
Control. With a trust you can set conditions on how and when your beneficiaries receive assets. Probate gives you no such control.
How to Avoid Probate in Missouri
There are several proven strategies Missouri families use to keep their estates out of probate court.
1. Create a Revocable Living Trust
This is the most comprehensive way to avoid probate. You transfer ownership of your assets into the trust while you are still alive. You remain in control of everything as the trustee. When you die your successor trustee distributes the assets directly to your beneficiaries without any court involvement.
A revocable living trust works for real estate, bank accounts, investment accounts, business interests, and most other assets. It is the gold standard for probate avoidance in Missouri.
2. Name Beneficiaries on Financial Accounts
Any account with a named beneficiary passes directly to that person outside of probate. This includes life insurance policies, retirement accounts like 401ks and IRAs, and bank accounts with a payable-on-death designation.
Review your beneficiary designations regularly. An outdated beneficiary designation — like an ex-spouse still listed on a life insurance policy — can override everything in your will.
3. Use Joint Ownership
Property owned jointly with right of survivorship passes automatically to the surviving owner when one owner dies. This is common with married couples who own a home together.
However joint ownership has risks. Adding someone to a deed or account gives them immediate legal rights to that asset. It can also create tax complications. This strategy works best as part of a broader estate plan rather than as a standalone solution.
4. Use a Beneficiary Deed for Real Estate
Missouri allows something called a beneficiary deed, also known as a transfer-on-death deed. This lets you name a beneficiary on your real estate deed so the property transfers automatically to that person when you die without going through probate.
A beneficiary deed is revocable — you can change it at any time while you are alive. It is a simple and affordable way to keep your home out of probate.
5. Keep Assets in the Trust
One of the most common mistakes people make is creating a trust but forgetting to fund it. If your assets are not actually titled in the name of the trust they will still go through probate regardless of what the trust document says.
Funding your trust means retitling your real estate, bank accounts, and other assets into the name of the trust. An experienced estate planning attorney handles this process for you.
What About a Will?
Even if your goal is to avoid probate entirely, you still need a will. A pour-over will catches any assets that were not transferred into your trust before you died and directs them into the trust. It is a safety net that ensures nothing falls through the cracks.
Does Every Estate Go Through Probate in Missouri?
Not necessarily. Missouri has a simplified probate process for small estates. If the total value of the probate estate is $40,000 or less, heirs can use a simplified affidavit process instead of full probate court proceedings. However most families with a home, savings, and other assets will exceed that threshold.
How Do You Get Started?
The first step is a conversation with an estate planning attorney who can look at your specific situation and recommend the right combination of strategies for your family. There is no one-size-fits-all answer — the right plan depends on what you own, who you want to protect, and what your goals are.
Lund Law Offices offers a complimentary strategy session for Missouri families in Lee's Summit and throughout the Kansas City metro area. No obligation — just a straightforward conversation about how to protect what you have built.
Call 816-875-2380 or schedule online today.
What Happens If You Die Without a Will In Missouri?
Most people know they should have a will. Very few actually get around to making one. If you're one of the many Missouri residents who has been putting it off, this article is for you — because what happens if you die without a will in Missouri might surprise you.
Missouri's Intestate Succession Laws Take Over
When someone dies without a will in Missouri, they are said to have died "intestate." That means Missouri's intestate succession laws automatically determine who gets your assets — not you.
The state has a fixed formula for this. It doesn't know your family situation, your relationships, your wishes, or your values. It just applies the formula. And that formula may have nothing to do with what you would have wanted.
Who Gets What Under Missouri Law?
Here's how Missouri distributes assets when there is no will:
If you are married with children from that marriage, your spouse receives the first $20,000 of your estate plus half of the remaining assets. Your children split the other half equally.
If you are married but have children from a previous relationship, your spouse receives half and your children from the previous relationship receive the other half. Your spouse does not automatically get everything.
If you are single with children, your children split everything equally.
If you are single with no children, your assets go to your parents. If your parents are deceased, they go to your siblings. If you have no siblings, they go to more distant relatives.
If you have no living relatives at all, your assets go to the state of Missouri.
What About Your Spouse?
One of the most common misconceptions in estate planning is that when one spouse dies, the surviving spouse automatically inherits everything. That is not true in Missouri.
As shown above, if you have children — even children you share with your spouse — your spouse does not automatically get 100% of your estate. They get $20,000 plus half. Your children get the rest. This can create serious financial hardship for a surviving spouse, especially if your largest asset is a home or a retirement account.
What Happens to Your Children?
If you have minor children and you die without a will, a judge decides who raises them. Without a will naming a guardian, the court has no guidance from you. It will make the decision it believes is in the best interest of the children — but that decision might not match what you would have chosen.
This alone is reason enough for every parent in Missouri to have a will.
What About Your Assets?
Certain assets pass outside of your will regardless — things like life insurance with a named beneficiary, retirement accounts with a named beneficiary, and jointly owned property. But everything else — your bank accounts, your car, your personal property, your home if it's in your name alone — goes through the intestate process.
That process takes time. It goes through probate court. It becomes public record. And it costs money in court fees and legal costs that come directly out of your estate.
What If You're Not Married But Have a Partner?
Missouri's intestate succession laws do not recognize unmarried partners. If you live with a partner, have been together for years, and share a life together — but you are not legally married — your partner gets nothing under Missouri law. Everything goes to your closest blood relatives, even if you are estranged from them.
The only way to protect an unmarried partner is with a properly drafted will or trust.
What If You Have a Blended Family?
Blended families are especially vulnerable when there is no will. Stepchildren have no inheritance rights under Missouri intestate law unless they were legally adopted. If you want your stepchildren to inherit anything, you need a will that specifically names them.
How Do You Fix This?
The answer is simple — make a will. A properly drafted will ensures that:
Your assets go to the people you choose
Your spouse is protected
Your children have a named guardian
Your estate avoids unnecessary delays and costs
Your wishes are followed exactly
A will doesn't have to be complicated. For many Missouri families a straightforward will takes one consultation and a short turnaround to complete.
Talk to a Lee's Summit Estate Planning Attorney
Zach Lund helps Missouri families in Lee's Summit and throughout the Kansas City metro area put the right plan in place. If you have been putting off making a will, now is the time.
Call 816-875-2380 or schedule a free consultation online. There is no obligation — just a conversation about how to protect your family.