Estate Planning in Maine

Estate planning in Maine involves navigating a specific set of state laws that differ in important ways from neighboring states. Understanding these distinctions helps ensure your documents will be valid and your wishes carried out as intended.

Like all states, Maine recognizes formally executed wills and living trusts as valid estate planning tools. A standard will here requires 218-C M.R.S. § 2-502Verified Sep 16, 2026View source adult witnesses, and adding a notarized self-proving affidavit can streamline the probate process later. The state also recognizes holographic (handwritten) wills, though these have stricter proof requirements and are more vulnerable to legal challenges.

A Maine healthcare power of attorney is signed before 218-C M.R.S. § 5-805Verified Jul 15, 2026View source witnesses; notarization is not required18-C M.R.S. § 5-805Verified Jul 15, 2026View source. Witnesses must be at least 18 years18-C M.R.S. § 5-805Verified Jul 15, 2026View source old. The agent must be at least 18 years18-C M.R.S. § 5-805Verified Jul 15, 2026View source old, and Maine bars employees of the treating facility from serving, subject to the statute’s exceptions.

A Maine financial power of attorney must be notarized18-C M.R.S. § 5-905, § 5-904, § 5-906, § 5-907, § 5-909, § 5-913, § 5-931, § 5-951Verified Sep 18, 2026View source; witnesses are not required. The document is durable by default18-C M.R.S. § 5-905, § 5-904, § 5-906, § 5-907, § 5-909, § 5-913, § 5-931, § 5-951Verified Sep 18, 2026View source: it stays in effect if the principal becomes incapacitated. A springing power of attorney, one that takes effect only when the principal becomes incapacitated, is permitted18-C M.R.S. § 5-905, § 5-904, § 5-906, § 5-907, § 5-909, § 5-913, § 5-931, § 5-951Verified Sep 18, 2026View source. The state adopted the Uniform Power of Attorney Act in 2017, modernizing its rules around financial powers of attorney. Documents created before 2017 may not reflect the current law’s protections.

Maine imposes its own estate tax on estates exceeding $7,160,00036 M.R.S. §§ 4102, 4103, 4119Verified Sep 15, 2026View source, with a top rate of 12%36 M.R.S. §§ 4102, 4103, 4119Verified Sep 15, 2026View source. This is separate from the federal estate tax and applies at a much lower threshold—the federal exemption is $15,000,00026 USC 2001(c), 2010; P.L. 119-21 §70106Verified Sep 15, 2026View source. Families with estates near this threshold often use trusts and lifetime gifting to reduce exposure.

Maine does not require a revocable living trust to be notarized18-B M.R.S. § 101 et seq.Verified Jul 15, 2026View source. Maine allows transfer-on-death deeds for real estate, enabling property to pass directly to named beneficiaries without probate. This is a significant probate avoidance tool that doesn't require creating a trust. Transferring property into a revocable trust does not trigger a property tax reassessment in Maine, so property taxes remain at their current level.

Maine automatically revokes an ex-spouse as beneficiary on life insurance, retirement accounts, and similar designations upon divorce. However, these automatic revocations can be overridden by a divorce decree or by re-designating the ex-spouse after the divorce.

Maine authorizes remote online notarization (RON), allowing trusts, healthcare directives, powers of attorney to be notarized via video call from anywhere. However, wills are excluded from RON and still require in-person notarization.