Wills & Trusts
The cornerstone of every estate plan is determining how your assets are managed during your lifetime and distributed after your death. I help you choose the right combination of documents.
Last Will and Testament
A will directs how your assets are distributed after death, names a personal representative (executor) to manage your estate, and designates guardians for minor children. Without a will, Michigan intestacy laws determine who inherits your property, which may not align with your wishes.
- Names beneficiaries for specific assets and residuary estate
- Appoints a personal representative and successor
- Designates guardians for minor children
- Can create testamentary trusts for beneficiaries who need protection
Revocable Living Trust
A revocable living trust holds your assets during your lifetime and distributes them according to your instructions after death, all without going through probate. You maintain full control as trustee and can modify or revoke the trust at any time.
- Avoids the Michigan probate process for funded assets
- Keeps your affairs private since trusts are not public record
- Enables smooth management if you become incapacitated
- Can include detailed distribution instructions for beneficiaries
Irrevocable Trust
An irrevocable trust permanently removes assets from your estate, providing potential estate tax benefits, asset protection, and Medicaid planning advantages. Once established, the trust generally cannot be modified or revoked without beneficiary consent.
- Removes assets from your taxable estate
- Provides creditor protection for trust assets
- Can be used for Medicaid planning with proper timing
- Irrevocable life insurance trusts (ILITs) keep insurance proceeds out of your estate
Powers of Attorney
Without proper powers of attorney in place, your family may need to petition the court for guardianship or conservatorship if you become incapacitated. That process is costly, slow, and public.
Financial Power of Attorney
Authorizes a person you trust (your agent) to manage your financial affairs if you become unable to do so. This includes paying bills, managing investments, handling real estate transactions, filing tax returns, and interacting with financial institutions on your behalf.
- Can be effective immediately or only upon incapacity (springing)
- Michigan Durable Power of Attorney survives your incapacity
- Should name successor agents in case your first choice is unavailable
- Can be tailored to grant broad or limited authority
Healthcare Power of Attorney (Patient Advocate Designation)
Under Michigan law, a Patient Advocate Designation allows you to name someone to make medical decisions on your behalf if you are unable to communicate your wishes. This includes decisions about treatment, surgery, medication, and end-of-life care.
- Must be signed before two witnesses under Michigan law
- Becomes effective only when you cannot participate in medical decisions
- Your advocate must accept the designation in writing
- Can include specific instructions about treatments you want or do not want
Advance Directives & Living Wills
An advance directive (often called a living will) documents your wishes regarding medical treatment if you are unable to communicate. This removes the burden of difficult decisions from your family and ensures your preferences are respected.
In Michigan, your advance directive works alongside your Patient Advocate Designation to provide clear guidance to your healthcare providers and family during a medical crisis.
What Your Directive Can Address
- Whether you want life-sustaining treatment if you are terminally ill
- Your wishes regarding artificial nutrition and hydration
- Pain management preferences and comfort care instructions
- Organ and tissue donation preferences
- Specific treatments you want or do not want (ventilators, resuscitation, dialysis)
- Religious or personal values that should guide medical decisions
Beneficiary Designation Coordination
Many of your most valuable assets (retirement accounts, life insurance, payable-on-death accounts) do not pass through your will or trust. They go directly to the named beneficiary. Failing to coordinate these designations is one of the most common and costly mistakes in estate planning.
Retirement Accounts
IRAs, 401(k)s, and other retirement accounts pass by beneficiary designation, not through your will or trust. Outdated designations (such as naming an ex-spouse) can override your estate plan entirely.
Life Insurance Policies
Life insurance proceeds go directly to the named beneficiary. Naming your estate as beneficiary subjects the proceeds to probate and potential creditor claims. Proper designation or trust ownership avoids these issues.
Transfer-on-Death Accounts
Bank accounts, brokerage accounts, and real property (via Michigan Lady Bird deeds) can include transfer-on-death designations that bypass probate. These must be coordinated with your overall plan.
Coordination With Your Trust
If you have a revocable living trust, some beneficiary designations should name the trust as beneficiary to ensure your distribution instructions are followed. This must be evaluated case by case to avoid adverse tax consequences.
Michigan-Specific Considerations
- Michigan does not impose a state estate tax, but federal estate tax applies to estates exceeding the exemption threshold
- Michigan recognizes Lady Bird deeds (enhanced life estate deeds) to transfer real property outside of probate while retaining lifetime control
- The Michigan Estates and Protected Individuals Code (EPIC) governs wills, trusts, and probate proceedings
- Michigan community property trust laws may benefit married couples who have moved from community property states
- Surviving spouses in Michigan have rights to a share of the estate regardless of the will (elective share)
- Michigan has specific requirements for valid wills, including two witness signatures
Estate Planning Under Michigan Law
Estate planning is governed by state law, which is why working with a Michigan-licensed attorney is essential. Michigan has unique tools (Lady Bird deeds, EPIC, specific trust statutes) that can significantly benefit your plan when used correctly.
Attorney James Maule stays current with Michigan estate planning law and uses state-specific strategies to protect your assets, minimize taxes, and ensure your plan works as intended under current statutes.
Frequently Asked Questions
How much does estate planning cost in Michigan?
Do I need a trust or just a will?
When should I update my estate plan?
What happens if I die without an estate plan in Michigan?
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