When it comes to estate planning in Florida, three tools play a central role in protecting your assets and securing your family’s future: trusts, wills, and homestead protections. While they often work together, each serves a distinct purpose. Many Florida residents misunderstand how these legal instruments interact, which can lead to costly mistakes or disputes down the road.
At Lumsden Law, our goal is to provide clarity so you can make informed decisions. Below, we’ll explore how trusts, wills, and homestead protections work in Florida, why they matter, and how to use them effectively to safeguard your legacy.
What Is a Will and Why Do You Need One in Florida?
A last will and testament is a legal document that outlines how your assets should be distributed after your death. In Florida, a will must meet specific requirements to be valid:
- It must be in writing.
- It must be signed by the testator (the person making the will).
- It must be signed by two witnesses in the presence of each other.
Without a valid will, Florida’s intestacy laws decide who inherits your estate. That could mean your assets go to relatives you never intended to benefit, while others you hoped to provide for receive nothing.
How Trusts Work in Florida Estate Planning
A trust is a separate legal entity that holds property for the benefit of designated beneficiaries. Trusts are particularly valuable in Florida because they can:
- Avoid probate: Assets placed in a trust do not go through probate, saving time and money.
- Maintain privacy: Unlike wills, trusts are not public record.
- Provide flexibility: Trusts can specify conditions for distribution (e.g., staggered payments for minor children).
One of the most common estate planning strategies is a revocable living trust. You maintain control of the assets during your lifetime, but upon your death, the trust distributes property directly to your beneficiaries.
The Role of Homestead Protection in Florida
Florida law provides some of the strongest homestead protections in the nation. If your property qualifies as homestead:
- Creditor protection: In most cases, your homestead cannot be forced to be sold to satisfy creditor claims.
- Inheritance rules: A surviving spouse and minor children receive special protections under Florida law. For instance, if you pass away with a spouse and minor children, the homestead automatically passes according to statutory rules, regardless of what your will or trust says.
- Property tax benefits: Homestead status caps annual property tax increases.
However, homestead rules can create complications. For example, you cannot freely leave your homestead to anyone you choose if you are survived by a spouse or minor child.
Common Mistakes with Trusts, Wills, and Homestead
- Assuming a will avoids probate: A will must go through probate in Florida. Only trusts and non-probate assets (like accounts with beneficiary designations) bypass the court process.
- Failing to update documents: Life changes—marriage, divorce, or the birth of children—should always prompt a review of your estate plan.
- Misunderstanding homestead rules: Many people assume they can transfer their home however they like, only to discover Florida’s laws limit their options.
- Not funding a trust: A trust is only effective if assets are properly transferred into it (more on this in Blog 2).
Why Work with an Estate Planning Attorney in Florida?
Because Florida’s laws are unique, cookie-cutter documents or online templates can leave your estate vulnerable. At Lumsden Law, we help clients:
- Draft wills that comply with Florida law.
- Structure and fund trusts to avoid probate.
- Navigate the complexities of homestead protection.
- Update estate plans as life circumstances change.
Proper planning ensures your wishes are honored and your family is protected.
Conclusion
Trusts, wills, and homestead protections are the foundation of a strong estate plan in Florida. Used correctly, they work together to safeguard your assets, minimize disputes, and provide peace of mind.
Call to Action: Ready to protect your family’s future? Contact Lumsden Law today to schedule your consultation.
FAQs:
1: Do I need both a will and a trust in Florida?
Yes. A will ensures your wishes are legally recorded, while a trust helps avoid probate and keeps your affairs private. Many Floridians use both for comprehensive protection.
2: Can my Florida homestead be included in a trust?
Yes, but with restrictions. Because Florida has unique homestead protections, transferring your home into a trust must be carefully structured to comply with state law.
3: What happens if I die without a will in Florida?
If you pass away without a valid will, Florida’s intestacy laws decide who inherits your estate. This may result in outcomes you never intended.
4: How often should I update my estate plan in Florida?
You should review and update your will, trust, and estate plan after major life changes—such as marriage, divorce, relocation, or the birth of children.
