Are you close to finalizing your divorce? Doing so will mark the end of a transitional period in your life. By this point, you may have already made many changes to your lifestyle. This could include moving out of a shared home, finding a new place to live and learning how to subsist on one source of income. However, you may have overlooked the need to update your estate plan post divorce.
There are many reasons why you might want to make changes to your estate plan after divorcing. For instance, your financial assets and real estate holdings will likely be affected after the divorce is finalized. Therefore, your estate plan will need revisions to reflect these changes. Here are some common changes that you might make when updating your estate plan post divorce.
Revising Your List of Beneficiaries and Powers of Attorney
Post divorce, the most obvious change to your estate plan involves revising your list of beneficiaries and powers of attorney. For example, most divorcees wish to remove their prior spouse from their estate planning wishes. At the same time, you may decide to remove beneficiaries connected to your prior spouse. Our estate planning law firm can help you with these changes.
Reflecting Any Property and Asset Changes
After revising your list of beneficiaries and powers of attorney, you should also ensure that your estate plan reflects any property and asset changes. This is due to California's concept of community property. Prior to a divorce, the earnings of each spouse belong to both as a matter of community property. However, after a divorce, the community property is divided evenly between both parties. Thus, you should update your estate plan post divorce to account for this change.
Choosing Your Own Estate Planning Goals
Another reason to update your estate plan post divorce is because you can now exercise more control over your estate. For instance, when spouses create their own estate plans, they typically consult one another during the process. Yet, as a divorcee, you no longer have to consult with your spouse about your estate planning goals. Therefore, you may want to revise your estate plan to reflect your individual wishes.
Contact a California Estate Planning Lawyer for More Information
While finalizing a divorce is a stressful time, it is important that you remember to update your estate plan. Doing so will help you prepare for the future, before it's too late.
For more information about how to update your estate plan post divorce, contact our Upland estate planning law firm today. We will walk you through the processes to get your estate in order. You can reach us by phone at (714) 591-0640 or through our confidential contact form.