Estate Planning Tips for the Newly Divorced

While all divorces aren’t as ugly as the War of the Roses, the process of getting divorced can be at the very least, emotionally and financially draining.

Not only are you faced with the notion of being single again, but you’re also forced to wade through a barrage of legal documents that spell out who gets what and who pays whom.

Now, you might already know who gets the house and how your assets will be split-up, but have you thought about all the other ways you and your Ex are linked?

Chances are, your soon-to-be Ex is the beneficiary on your life-insurance policy. Given that he or she is no longer your spouse, you might want to think about naming a different beneficiary instead. Likewise on your investments and bank accounts with Pay on Death (POD) or Transfer on Death (TOD) clauses as well as your IRAs and 401k accounts.

Remember, these accounts do not have to pass through probate and nothing in your Will affects how the proceeds are distributed. If you don’t change the beneficiary, your Ex will receive the payout instead of your family.

Also, if you are have custody of children under 18, you need to establish a Will or Trust that names your children as the beneficiary and assigns a Trustee other than your Ex. This will ensure than any assets you leave to your children only benefit your children and do not end up in the control of your Ex.

Related posts:

  1. 4 Important Estate Planning Documents that Parents of Young Children Need to Have
  2. Ten Questions to Ask Yourself When Choosing a Guardian for Children
  3. Estate Planning in Your 30s
  4. The Basics of Term Life Insurance

Author Bio

Catherine Hammond

Catherine Hammond is the CEO and founder of Hammond Law Group, a Colorado-based estate planning law firm she founded in 2005. With a strong focus on protecting families from the legal consequences of disability and death, she creates comprehensive estate plans that minimize taxes, costs, and government interference.

A native of Denver, Catherine completed her undergraduate studies at Coe College in Iowa, and her Juris Doctorate from the University of Denver College of Law in 1993, concentrating on estate planning, tax, and mediation. Catherine is a member of various professional organizations, including WealthCounsel, ElderCounsel, the National Academy of Elder Law Attorneys, the Colorado Springs Estate Planning Council, and the Purposeful Planning Institute. Beyond her legal expertise, Catherine provides transformational coaching to support clients and their families through life transitions.

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