People typically update their estate plan every three to five years, but a lot can happen in that time. If you’ve recently been through a divorce, you need to make adjustments sooner.
While everybody’s situation is unique, here are several areas of concern that may need to be addressed in your estate plan:
Updating your list of assets
An estate plan often includes a list of assets that should be distributed to beneficiaries when you pass away. This list can include real estate, personal possessions, businesses and other valuable assets. It isn’t unusual for one’s assets to change when a marriage ends, since marital assets have to be divided.
Changing your beneficiaries
This almost always needs to be changed after a divorce. If your ex-spouse is one of your beneficiaries when you die in your will or on your insurance policies, you may want to change that immediately.
Changing your power of attorney document
A power of attorney document establishes an agent to make medical and financial decisions on your behalf if you become incapacitated. If you have named your ex-spouse, you will likely need to update your power of attorney document by naming a new agent.
If it is time to update your estate plan, you may want to consider reaching out for professional legal guidance to avoid making any mistakes or missing something important. Professional legal guidance can help you make changes to your estate plan that best fit your needs.
