Top 3 Estate Planning Mistakes for Seniors and Retirees

 Posted on September 15, 2025 in Estate Planning

As retirement approaches, many people in Illinois begin to think more seriously about what will happen to their property, finances, and medical care in the future. Estate planning gives seniors and retirees a way to protect their wishes and provide for their loved ones. Unfortunately, some common mistakes can put those plans at risk. Avoiding these mistakes can make the difference between an easy property transfer and confusion or conflict.

At Gateville Law Firm, our Sugar Grove, IL estate planning lawyer has free consultations for those who want to create or update their estate plans. With careful guidance, you can get the peace of mind you need without these common errors.

Estate Planning Mistake 1: Not Updating an Old Will or Trust

One of the biggest estate planning mistakes is leaving documents unchanged for years. A will or trust that was written when your children were young or before you retired may no longer reflect your current situation. Major life events such as the death of a spouse or a second marriage can all affect your estate plan. Seniors often find that old estate plans accidentally leave out loved ones or divide property in ways that no longer make sense.

Illinois law, found in the Probate Act (755 ILCS 5/4), allows you to change your will at any time as long as you are of sound mind. If you do not update your documents, the courts will follow the outdated terms, even if they no longer match what you want. By reviewing your will and trust every few years, you can make sure your estate plan is up to date.

Estate Planning Mistake 2: Not Having Powers of Attorney

Another common oversight is not setting up powers of attorney. Powers of attorney are documents that allow someone you trust to make financial or medical decisions for you if you cannot. In Illinois, the two main types are:

• A Health Care Power of Attorney, which names a person to make medical decisions and carry out your treatment preferences.

• A Property Power of Attorney, which gives someone authority to handle financial matters like paying bills, managing bank accounts, or selling property.

Without these documents, your family may have to go through a long and expensive guardianship process if you become incapacitated. That process can also lead to fights about who should make decisions on your behalf. Setting up powers of attorney now prevents your family from facing this burden and ensures your wishes are honored.

Estate Planning Mistake 3: Not Planning for Long-Term Care Costs

Many retirees underestimate how expensive long-term care is. Nursing homes in Illinois can cost thousands of dollars each month. Medicare does not cover most long-term care services, and without planning, the costs can burn through savings.

Some seniors assume their children will provide care, but this may not be realistic. Others believe that a last-minute transfer of assets will protect them, but Illinois Medicaid rules include a five-year "look-back" period that penalizes such transfers.

By working with an estate planning attorney, you can explore tools such as irrevocable trusts, long-term care insurance, and Medicaid planning strategies. Taking action early helps protect your nest egg and ensures you receive the care you need without leaving your family with enormous expenses.

Contact a Kane County, IL Wills and Trusts Lawyer for Seniors

Estate planning does not have to be overwhelming, but if you do not do it correctly, mistakes can have serious consequences. By keeping your documents up to date, setting up powers of attorney, and planning for long-term care, you can protect yourself.

If you are ready to make or update your estate plan, contact Gateville Law Firm to schedule a free consultation. Our Sugar Grove, IL estate planning attorney serves clients throughout Kane County, offering clear guidance and trusted support every step of the way. Call us today at 630-780-1034 to put our 20-plus years of experience to work for you.