September is an oddball month. The kids go back to school leaving a trail of eerily abandoned devices, hurricane season peaks and many ask themselves if the cheap cruise deals are worth the risk to human life, and of course, pumpkin-spice products invade every corner of Whole Foods. But – for those paying attention – there are critical legal and financial deadlines lurking around the corner.
Here are five mistakes we repeatedly see in September, and we aim to eradicate them for the South Florida population. Because let’s face it – Miami-Dade and Broward offer enough surprises like alligator sightings and unexpectedly strong cafecitos without adding unnecessary legal troubles to the mix. So here goes:
1. Sending Your Child Off to College Without 2 Essential Documents
Back to school shopping and back to school nerves (for most parents). If your child is going off to college to live on campus, you likely got some essentials. But you will need more than noise canceling headphones or memory foam mattress toppers to get through the year. How about the things that really matter? Like being able to speak to their doctors and access their medical records in case of a serious accident?
There are 2 essential legal documents your children (who are technically now adults) should not leave home without: A Health Care Surrogate (aka Health Care Proxy) and a Durable Power of Attorney. With these properly executed documents, parents can navigate through any accident, illnesses, or mistake kids will make as they start their new life away from home. Although they are forever “your babies,” from a legal standpoint, anyone age 18 and over is a legal adult. Your child now has complete power to make all legal and financial decisions for themselves.
What does this mean to you? This means that you, as a parent, lose the right to make any medical decisions, financial or legal decisions for your children without the proper legal documents granting you such permission. If your child is injured in an accident, consumes any narcotic, develops a severe illness, or decides to go to Ibiza with their financial aid money. There is nothing you can do about it unless you have these 2 estate planning documents.
Health Care Surrogate Document
- Sometimes referred to as a Healthcare Proxy.
- Allows families to plan ahead for complex medical decisions.
- Your child names a representative called “agent” (mom or dad or someone else) to make their healthcare decisions if they cannot.
- This saves time on paperwork during an emergency, so you can act immediately.
- Also prevents disagreements within the family regarding who should make critical medical decisions like consenting to certain medical procedures, seeking a second opinion, obtaining medical records, or transferring the child to a different facility.
- HIPAA Authorization (usually part of the Health Care Surrogate Document) – A signed HIPAA Authorization or Waiver form is required by the Health Insurance Portability and Accountability Act. It permits medical providers and health insurance companies to disclose medical information to the child’s agent.
Durable Power of Attorney (“DPOA”) Document
- Allows your child to select an agent (mom or dad or someone else) to carry out their legal and financial matters on their behalf in case of their incapacity.
- Incapacity can be caused by several conditions, including a severe physical accident, excessive drug or alcohol consumption or a serious illness.
- The agent will be able to make legal and financial decisions like contacting your child’s bank, credit card companies, insurance companies, and accessing their social media accounts.
- The DPOA takes effect immediately and ends when the person passes away.
2. Not Filing Your Income Tax Return or Corporate Returns by Sept 15
September 15, 2026, is an important tax deadline for many taxpayers. For individuals, September 15 is the third quarter estimated tax payment deadline for 2026. The payment covers income earned from June 1 through August 31. If you don’t pay enough estimated tax by September 15, you may owe an underpayment penalty when you file your 2026 return.
For many businesses and other taxpayers that received an extension, September 15 is also the deadline to file certain returns. For example, calendar-year partnerships and S corporations that received an automatic extension generally must file by September 15, 2026. An extension gives you more time to file—not more time to pay. The tax generally was still due by the original filing deadline, and interest can continue to accrue from that original due date even while an extension is in effect.
So, what happens if September 15 comes and goes without a filing? If you owe tax and miss the extended filing deadline, the IRS can impose a failure-to-file penalty of generally 5% of the unpaid tax for each month or partial month, up to 25%. A separate failure-to-pay penalty can also apply. There can be exceptions and penalty-relief options in cases involving reasonable cause.
In other words, if your accountant has been sending increasingly desperate emails, answering them now, rather than after September 15, 2026, is a very good idea.
3. Not Setting Aside Money for Your November Property Tax Bill
Florida property tax bills generally arrive in November, and this is where September comes in. September is a good time to look at your bank account and ask the uncomfortable question: “Did I actually save enough for my property taxes?”
Florida gives property owners an incentive to pay their property taxes early. If you pay in November, you generally receive a 4% discount. Pay in December and the discount drops to 3%. Pay in January and you get 2%, and February gets you 1%. After that, the discount disappears.
The basic schedule is:
- November: 4% discount
- December: 3% discount
- January: 2% discount
- February: 1% discount
- March: No discount, but payment can still be made
- April 1: Unpaid property taxes become delinquent
So, technically, you have a window from November 1 through March 31 to pay your property taxes without them becoming delinquent. For example, if your property tax bill is $10,000, a 4% November discount saves you $400. A 3% December discount saves $300. January saves $200, and February saves $100.
Of course, the bigger mistake is not setting aside the money in the first place. So, use September as your warning bell. Look at your property tax bill, figure out what you will owe, and make sure the money will be there come Thanksgiving.
4. Ignoring the TRIM/Property-Tax Notice that comes in August
Florida’s Department of Revenue specifically identifies August as the period when TRIM notices are mailed by the Property Appraiser and September as the typical period for filing a property-value challenge. It is not a bill. If you think the assessed value, exemption, or proposed taxes are wrong, there is a relatively short window to challenge the property value—generally 25 days from the mailing of the TRIM notice to file the appropriate Value Adjustment Board petition.
When the TRIM notice arrives, don’t just look at the bottom-line tax estimate. Review the below items for accuracy:
- The property’s assessed value compared with the prior year.
- The homestead exemption and other property-tax exemptions shown.
- The Save Our Homes assessment limitation.
- Whether the property description/ownership information is correct.
- Whether anything about the property has changed that could affect its assessment.
- The deadline for challenging the assessment.
Do not make the common mistake of:
- Assuming an exemption automatically follows you after a move or after a change in ownership.
- Losing track of homestead portability after moving. A Florida homeowner generally cannot simply transfer the homestead exemption itself to a new property, but eligible homeowners can transfer some or all of their Save Our Homes assessment difference. The Department of Revenue says the portability application is generally due March 1 of the first year after the move.
5. Assuming “Homeowners Insurance” Means Every Type of Storm or Water Damage Is Covered (Especially During Hurricane Season)
Storm Damage
Florida homeowners often assume that if a storm damages their property, their homeowner’s insurance will cover the resulting loss. That is not always true. Flood damage (including storm surge, rising water, and surface-water runoff) is generally excluded from standard homeowners’ policies and requires separate flood coverage.
Plumbing Leaks or Appliance Failures in Condominiums:
In South Florida condos, the most common type of water damage is usually sudden/accidental plumbing or appliance-related water loss, such as:
- A burst or failed supply line
- A washing machine, dishwasher, water heater, or AC condensate line overflowing
- A pipe or plumbing connection inside a unit failing
- Water coming from an upstairs/neighboring unit
If your condominium suffered a water loss or caused damage to a neighboring apartment or the building itself:
- You must determine if your owner’s policy (HO-6), the condominium association’s insurance, or both should respond.
- Responsibility may depend on the source of the leak, whether the damaged property is part of the unit or a common element, and the condominium documents. A homeowner should not assume that the mere fact that water entered the unit means their own policy will pay for all resulting damage.
- One important Florida wrinkle: insurers may impose water-damage limits or special endorsements, so don’t assume that “water damage is covered” means the entire loss is covered.
After a hurricane or water loss, homeowners should document the source of the water, photograph the damage, promptly notify the appropriate insurer or association, and review their policy and condominium documents. “Water damage” is not a single coverage category – the cause of the loss can determine which policy applies.
Contact attorneys-at-law Natasha Chipiga and Fernando Orrego, at OC Estate and Elder Law. We offer consultations on estate planning and other legal matters affecting your finances, including planning for yourself, adult children, or elderly parents. Consultations are available by phone or Zoom. Call (954) 251-0332 or email info@ocestatelawyers.com to schedule a consultation. We speak English, Spanish, and Russian.
