Estate Planning Mistakes Ontarians Make — And How to Avoid Them

Introduction

Estate planning isn’t just for the wealthy, it’s for anyone who wants to make sure their assets, property, and loved ones are protected after they’re gone.

Unfortunately, many Ontarians delay or overlook important steps, leading to confusion, disputes, and unnecessary costs for their families.

At MJ Law Services, we’ve seen how small oversights can create big legal and emotional problems later. This blog outlines the most common estate planning mistakes people make in Ontario, and practical tips to help you avoid them.

1. Not Having a Will

One of the biggest mistakes is not having a valid will at all.

If you die without a will in Ontario, your estate is distributed according to the Succession Law Reform Act — not your personal wishes. That means:

Your spouse and children may not receive what you intended.
A court may appoint someone to manage your estate.
The process may take longer and cost more.

Creating a will ensures your assets are divided according to your instructions and your loved ones are cared for.

2. Using an Outdated Will

Even if you already have a will, it might not reflect your current situation. Major life changes — such as marriage, divorce, having children, or purchasing property — can make an old will outdated.

Review your will every few years or after major life events. Updating it ensures that it aligns with your current wishes and family circumstances.

3. Not Naming an Executor Carefully

Your executor (or estate trustee) is responsible for managing your estate, paying debts, filing taxes, and distributing assets.

Choosing the wrong executor can lead to delays or conflicts. Common issues include naming someone who:

Lives out of province
Isn’t financially responsible
Has conflicts with beneficiaries

Pick someone you trust, who is organized, and who can handle administrative and emotional responsibilities.

4. Forgetting to Update Beneficiaries

Many financial accounts — such as life insurance policies, RRSPs, or TFSA accounts — allow you to name beneficiaries directly.

If you forget to update these after marriage, divorce, or family changes, the wrong person could receive your assets.

Always keep beneficiary designations up to date and consistent with your will to avoid contradictions.

5. Not Planning for Incapacity

Estate planning isn’t just about what happens after you pass away, it’s also about what happens if you become unable to make decisions.

You should have:

A Power of Attorney for Property – authorizing someone to manage your finances.
A Power of Attorney for Personal Care – allowing someone to make health and personal decisions on your behalf.

Without these documents, your loved ones may have to go through court to gain authority — which is time-consuming and stressful.

6. Overlooking Digital Assets

In today’s digital world, many people forget to include online assets in their estate plan.

This includes:

Email accounts
Cloud storage
Cryptocurrency
Social media profiles
Online subscriptions

Without clear instructions, your digital property may be lost or inaccessible. Keep a secure list of online assets and access information with your executor.

7. Ignoring Tax Implications

When someone passes away, their estate may face taxes on capital gains, income, or property. Without proper planning, a significant portion of your estate could go to taxes instead of your loved ones.

You can minimize taxes through strategies such as:

Setting up trusts
Transferring assets strategically
Taking advantage of spousal rollover provisions

Professional advice ensures your plan is structured for both efficiency and compliance.

8. Assuming Common-Law Partners Have the Same Rights

In Ontario, common-law partners do not have the same automatic inheritance rights as married spouses.

If you’re in a common-law relationship and die without a will, your partner may receive nothing — even if you’ve been together for years.

A properly drafted will ensures your partner is legally protected and receives what you intend.

9. Not Communicating Your Wishes

Even the best estate plan can lead to family conflict if your intentions aren’t clear.

Discussing your plan with your executor and beneficiaries can prevent misunderstandings. While these conversations can be uncomfortable, they help avoid disputes later on and ensure everyone understands your wishes.

10. DIY Wills Without Legal Review

Online templates may seem simple, but they often fail to comply with Ontario’s legal requirements. Small errors — like missing signatures or unclear language — can make your will invalid.

Having a lawyer review or prepare your will ensures it meets all legal standards and truly reflects your intentions.

11. Forgetting About Minor Children

If you have young children, your will should name a guardian to care for them if you pass away. Without one, the court decides who takes custody, which may not align with your preferences.

You can also establish a trust to manage funds for your children’s education and living expenses.

12. Not Including Business Succession Plans

For entrepreneurs, estate planning should include what happens to your business.

Who will take over? Will the business continue operating, or should it be sold?

Having a business succession plan prevents disputes among partners or heirs and ensures a smooth transition.

13. Waiting Too Long

Perhaps the most common mistake of all is procrastination.

Many people believe they’re too young or don’t have “enough” assets to need an estate plan — but life can change in an instant. Starting now gives you control and peace of mind.

Conclusion

Estate planning is about more than distributing wealth, it’s about protecting your loved ones, ensuring your wishes are respected, and reducing future stress and costs.

By avoiding these common mistakes, you can build a plan that works exactly as you intend.

Call to Action

At MJ Law Services, we help Ontarians create and update wills, trusts, and powers of attorney that reflect their goals and comply with provincial laws.

Don’t leave your future to chance — let’s plan it properly.

Email: mjlawservices@gmail.com
Mobile: 647-787-0815
Phone: 647-660-9666

MJ LAW