Divorce can be an emotional and financial upheaval, and once the dust settles, it’s crucial to revisit your estate plan to reflect your new circumstances. Updating your estate planning documents is essential to ensure your wishes are carried out and that your assets are distributed according to your intentions.
Estate Planning After Divorce
Here are key steps to consider when thinking about Estate Planning After Divorce:
Revise Your Will
Your will may need significant changes after a divorce. If your former spouse was named as a beneficiary or executor, you’ll want to remove or replace them. Be sure to update your beneficiaries to reflect your new priorities, including children, siblings, or other loved ones.
Review Beneficiary Designations
Many financial accounts, life insurance policies, and retirement plans have beneficiary designations that override the terms of your will. Make sure to update these to ensure they align with your new wishes.
Power of Attorney & Healthcare Directives
If your ex-spouse is currently designated as your power of attorney or healthcare proxy, you’ll need to make new appointments. Choose someone you trust to handle financial or medical decisions on your behalf if you become unable to do so.
Trusts
If you have a living trust, update its terms to reflect your new situation. This could include drafting a new individual trust, changing the trustee or the beneficiaries. Trusts can provide valuable asset protection and help avoid probate, so ensuring they align with your current wishes is crucial.
Estate planning after a divorce is a proactive way to ensure your future is secured and that your loved ones are protected. If you need assistance revising your estate plan after a divorce, call us at 206-703-0764 or contact us online to schedule a consultation.
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