Divorced? It's Time to Update Your Estate Plan
Divorced? It's Time to Update Your Estate Plan
Should You Update Your Estate Plan After Divorce in Arizona?
Yes. After a divorce in Arizona, you should review your entire estate plan to make sure your documents, appointments and beneficiary designations reflect your current wishes. This includes reviewing your Will, Trust, powers of attorney, life insurance, retirement accounts, bank and investment accounts, real estate and beneficiary designations. Arizona law may revoke certain provisions benefiting a former spouse, but reviewing and updating your estate plan can help ensure your current intentions are clearly documented.
Your divorce is final.
You changed your address.
You separated the bank accounts.
You divided the property.
You may even have changed your name.
But did you update your estate plan?
For many people, the answer is no.
That can be a mistake.
Your Old Estate Plan Was Written for Your Old Life
Think about when you signed your estate planning documents.
Did you name your former spouse as:
- Trustee?
- Personal Representative?
- Financial Power of Attorney?
- Healthcare Power of Attorney?
- Beneficiary?
If so, it is time to review everything.
Doesn't Divorce Automatically Fix This?
Arizona law does provide some protection.
After a divorce, Arizona law generally revokes certain revocable provisions that benefit a former spouse. It can also revoke certain appointments giving a former spouse authority to act for you.
But here is my advice:
Don't rely on the law to clean up your estate plan.
Clean it up yourself.
Your documents should clearly say what you want today.
Check More Than Your Will
Updating your estate plan means looking at the entire picture.
Review your:
- Will
- Trust
- Financial Power of Attorney
- Healthcare Power of Attorney
- Mental Healthcare Power of Attorney
- Life insurance
- Retirement accounts
- Bank accounts
- Investment accounts
- Real estate
- Beneficiary designations
You may discover that your former spouse is still named somewhere you had completely forgotten.
What About Your Children?
If you have minor children, your review is even more important.
Ask:
- Who will manage the money I leave for my children?
- At what age should my children receive their inheritance?
- Who should serve as guardian if both parents are gone?
- What happens if I remarry?
Your answers may be very different today than they were when you created your original estate plan.
Take Back CONTROL
Divorce is a major life change.
Your estate plan needs to change with it.
Don't leave an old Will, Trust or beneficiary designation sitting in a drawer and hope everything works out.
Estate planning is about CONTROL.
Make sure your documents reflect your family, your property and your wishes today.
If you have recently divorced—or if you divorced years ago and never updated your estate plan—please call our office. We can review your documents and help make sure your plan still does what you want it to do.
If you have recently divorced—or if you divorced years ago and never updated your estate plan—please call our office.
Call (480) 296-2036Frequently Asked Questions About Estate Planning After Divorce in Arizona
Should I update my estate plan after getting divorced in Arizona?
Yes. Divorce is a major life change, and your estate planning documents should reflect your current family, property and wishes. Reviewing your entire estate plan can also identify documents, accounts or beneficiary designations that still name your former spouse.
Does divorce automatically remove my former spouse from my estate plan in Arizona?
Arizona law generally revokes certain revocable provisions benefiting a former spouse after divorce. It can also revoke certain appointments that give a former spouse authority to act for you. However, you should not rely solely on the law to update your estate plan. Your documents should clearly reflect what you want today.
What estate planning documents should I review after an Arizona divorce?
Review your Will, Trust, Financial Power of Attorney, Healthcare Power of Attorney and Mental Healthcare Power of Attorney. You should also review life insurance, retirement accounts, bank accounts, investment accounts, real estate and beneficiary designations.
Should I review beneficiary designations after divorce?
Yes. Beneficiary designations should be part of a complete estate plan review after divorce. A former spouse may still be named on an account or policy you have forgotten about.
What should divorced parents consider when updating an estate plan?
Parents of minor children should consider who will manage money left to their children, when their children should receive an inheritance, who should serve as guardian if both parents are gone and how a future remarriage could affect their estate plan.
What happens to my estate plan if I remarry after divorce?
Remarriage is another significant life change that can affect your family, property and estate planning wishes. Your estate plan should be reviewed to determine whether your existing documents still accomplish what you want.
About the Author
Ilene L. McCauley, Esq. is a Scottsdale, Arizona estate planning, probate and tax attorney who has practiced law in Arizona since 1982. She helps individuals and families throughout Arizona address estate planning, incapacity, probate, trust administration and related family planning concerns. Ilene has been a Certified Specialist in Taxation recognized by the Arizona Board of Legal Specialization since 1983.
Disclaimer
Ilene L. McCauley is licensed to practice law in the State of Arizona. Ilene L. McCauley, Ltd. provides legal services for clients in the State of Arizona. The information provided in this article is general and educational in nature and should not be construed as legal, tax or medical advice. Reading this article or using this website does not create an attorney and client relationship. Federal and state laws and regulations are complex and subject to change. Consult qualified Arizona legal and medical professionals regarding your individual circumstances.