Estate Planning Tips for Recently Divorced Individuals

A divorce can have a significant impact on your estate plan. Now that you’ve gotten divorced, your needs and goals for the future have likely changed. Your estate plan needs to change, as well, to reflect your new life. It is important to update your estate plan promptly after a divorce to ensure your assets and wishes are protected and an estate planning lawyer in St. Louis is here to help.

Update Your Will

If you had an estate plan or will while you were married, your spouse is likely named as a beneficiary for certain assets or property. After your divorce, you may wish to change this designation to someone else. If your spouse was named as the executor of your will, you will need to choose someone else, as well, unless you still want your ex-spouse to have this duty.

Change Your Bank Account Beneficiary Designations

You will need to review all of your financial accounts to replace your ex-spouse as the beneficiary. This is a critical step even if you have already updated your will, as the designations listed on bank accounts override those on a will. Update all insurance policies, bank accounts, retirement accounts and plans, and investment accounts accordingly.

Revise Trusts

If you have any existing trusts set up that involve your ex-spouse, these will need to be changed or updated. You may need to remove your ex as a trustee, for example, and name someone else or a professional to manage your trust instead. A St. Louis trusts attorney is here to help you set these up and ensure that you are good to go.

If you don’t already have a trust, post divorce is a good time to set one up. A trust such as a revocable living trust can set up funds – including money earned from alimony or child support payments – to go directly to your children or heirs without having to involve your ex-spouse.

Address Guardianship of Small Children

If you do not feel comfortable allowing your ex-spouse to become the legal guardian of minor children that you share together – such as issues of substance abuse or domestic violence – it is critical to update your guardianship documents as part of your estate plan to express these concerns.

While you ultimately may not have control over custody of your children should you pass away (since the courts make determinations based on a child’s best interest), including a letter in your estate plan explaining why your ex-spouse should not be chosen as the primary caregiver can be used as evidence during a custody case. A judge will be able to review your concerns and take your desired guardian into consideration.

Update Your Medical Proxy

If your ex-spouse is named as your medical proxy or health care power of attorney – the person you chose to make important medical decisions on your behalf should you become incapacitated, such as resuscitation directions and end-of-life care – you may wish to assign someone else to this position after your divorce. The same is true if your ex-wife or ex-husband is named as your financial power of attorney.

What Happens If I Pass After a Divorce Without Updating My Estate Plan?

If you pass away after getting divorced but before you have the chance to update your estate plan, state laws in Missouri may automatically revoke certain provisions that would benefit your ex-spouse. However, this is not a guarantee and should not be something you count on to protect your assets.

For optimal peace of mind and total control over how your hard-earned assets will be handled and distributed after a divorce, work with an estate planning lawyer in Missouri to make sure everything is correct, accurate and up to date. Contact TdD Attorneys at Law LLC for a free consultation.