5 Common Mistakes Maryland Families Make In Estate Planning

By Melissa N. Paddy, Esq., Liberty Legacy Law Group

We see it all the time: smart, caring, responsible Maryland families who deeply want to protect what they’ve built – but make simple, avoidable mistakes that end up costing their loved ones peace, time, and money.

Estate planning isn’t just about legal documents.
It’s about love.
It’s about making sure the people you care about aren’t left with confusion, conflict, or courtrooms when you’re no longer here to guide them.

And yet, even with the best intentions, families often delay, underestimate, or overlook key parts of the process.

In this blog, I’m sharing 5 of the most common – and most costly – mistakes I see families make, with the hope that you don’t have to learn these lessons the hard way.

Let’s dive in.

Mistake #1: “I’ll Just Give It to the Kids Now So It’s Easier Later”

(Also known as: The Gift That Comes With a Tax Bomb)

One of the most common misconceptions I hear is this:
“If I just transfer the house or bank accounts to my kids now, I can avoid probate and make things simple.”

I know it comes from a place of love. But this well-meaning move can lead to serious problems down the road.

When you transfer assets – like your home or other valuable property – to your children while you’re still living, you might unintentionally:

• Trigger gift tax consequences
• Forfeit important property tax protections
• Lose control over your assets if something happens (like divorce, debt, or death)
• Risk your home being taken in a lawsuit or bankruptcy involving your child

Not to mention: your child’s cost basis in the home is based on the value at the time of the gift – not your date of death. That can mean huge capital gains taxes if they ever sell the property.

In contrast, when assets pass at death through a properly drafted trust or estate plan, your beneficiaries typically receive a step-up in basis, saving tens of thousands of dollars in taxes.

Bottom line: Transferring assets while living can feel like a shortcut – but it often creates a mess. There are safer, smarter ways to accomplish the same goal.

Mistake #2: “I Made a Plan… Back When My Kids Were in Diapers”

(Also known as: The Dusty Estate Plan in the Back of the Drawer)

Estate planning isn’t a one-and-done task. It’s a living process that needs to evolve as your life does.

I can’t tell you how many families come into our office with wills or trusts that were created 10, 15, even 20 years ago – and haven’t been touched since.

But in that time, everything has changed:

• Relationships shift
• Children grow up (and sometimes grow apart)
• Grandkids arrive
• People pass away
• New property is acquired
• Business interests are created
• Healthcare wishes evolve

If your documents don’t reflect your current reality, they may be outdated – or even unenforceable.

Would your 2005 will still protect your 2024 family?
If the answer is “I don’t know,” it’s time to dust it off and take another look.

A good rule of thumb: Review your plan every 3 – 5 years, or after any major life event. At Liberty Legacy, we help families do just that – with compassion, clarity, and no judgment.

Mistake #3: “I’ll Do It After I Retire… Or When the Grandkids Are Born… Or Next Year…”

(Also known as: The Someday Plan That Never Happens)

I hear this one all the time:
“I know I need to do this… I’m just waiting until ___.”

Here’s the hard truth: Life doesn’t wait for perfect timing.
And estate planning done too late often becomes estate cleanup – and that’s far more stressful and expensive.

I’ve worked with families navigating tragic, sudden loss. I’ve seen how probate court drains time, money, and emotion. I’ve seen arguments erupt between siblings because nothing was written down. I’ve seen surviving spouses denied access to funds they relied on.

Planning ahead doesn’t mean expecting the worst.
It means being responsible. It means giving your family the gift of peace when they’ll need it most.

You don’t need to wait for a milestone or a diagnosis.
If you have people you love and assets you want to protect – now is the time.

Mistake #4: “I Don’t Have Enough Money to Need an Estate Plan”

(Also known as: The Most Dangerous Lie Families Tell Themselves)

This one breaks my heart.

So many families believe that estate planning is only for the ultra-wealthy. That it’s reserved for people with mansions, businesses, and millions in the bank.

But guess what?

Most of the families we serve at Liberty Legacy Law Group are middle-class Marylanders. They’re teachers, plumbers, small business owners, retired military, and nurses. They’ve worked hard, saved consistently, and built something worth protecting.

They have homes. They have 401(k)s. They have life insurance. They have loved ones who depend on them. And that’s more than enough to need a plan.

In fact, it’s the families with modest estates who have the most to lose when things go wrong. Because they can’t afford to let court delays, taxes, or legal confusion eat away what they’ve built.

Estate planning isn’t about being rich.
It’s about being ready.
It’s about love, not luxury.

Mistake #5: “I Can’t Decide – So I’ll Just Do Nothing”

(Also known as: The Plan That Fear Built… and Then Abandoned)

Here’s something no one likes to admit: Estate planning can be emotional.

You have to think about hard things:

• Who would raise your kids?
• How would you divide your assets?
• What if your adult child has a substance use issue or financial instability?
• What if your partner and your family don’t agree?

These are real, heavy decisions. And many people let the discomfort keep them stuck.

But here’s the truth I’ve seen play out over and over again:
Delaying doesn’t make it easier. It makes it messier.

At Liberty Legacy Law Group, we believe in progress over perfection. Your plan can (and should) evolve. You’re not locked in forever. What matters most is taking that first step – getting something in place now, so that the people you love aren’t left unprotected.

Your decisions don’t have to be perfect.
They just need to be made.

How to Avoid All 5 Mistakes – Without Overwhelm

Estate planning doesn’t have to be confusing or scary. When you work with the right firm, it becomes a thoughtful, empowering, even relieving process.

Here’s how we do things at Liberty Legacy:

• We start with a conversation, not a pile of paperwork.
• We use plain English, not legalese.
• We guide you through decisions, one step at a time.
• We tailor everything to your life, your values, and your goals.
• We build plans that can grow with you, so you’re never stuck.

Whether you’re brand new to estate planning, need to update an old plan, or want to make sure your home and legacy are protected – we’re here. And we truly mean that.

Final Thoughts: Planning Is a Gift

At the end of the day, estate planning isn’t just about money or legal tools.

It’s about love.
It’s about relief.
It’s about telling your family: “I’ve taken care of it.”

Imagine giving your spouse, your kids, your grandkids the peace of mind that they won’t have to guess, argue, or suffer through unnecessary court proceedings.

That’s what a good plan does.

So if you’ve made any of these mistakes – or if you’ve simply avoided the conversation – there’s no shame. There’s just the next right step.

Let’s take it together.

At Liberty Legacy Law Group, we help Maryland families plan with heart, honesty, and hope.
Because your legacy deserves more than good intentions. It deserves a plan. Contact us today!