Divorce brings significant emotional, financial, and legal changes. During this time, most people focus on issues related to property division, support, and custody arrangements. Estate planning is often overlooked. Yet reviewing your estate plan during a divorce—not just after it is finalized—can be one of the most important steps you take to protect yourself and your loved ones.
Many people assume that filing for divorce automatically removes a spouse from their estate plan. In most cases, that is not true. Until a divorce is finalized, a spouse may still be named as a beneficiary under a will or trust, designated to receive life insurance proceeds or retirement benefits, or authorized to make financial and medical decisions under powers of attorney and healthcare documents. If something unexpected happens before the divorce is complete, your existing estate plan may control, even if it no longer reflects your wishes.
At the same time, a pending divorce does not necessarily mean you are free to make every change you would like. Certain financial and beneficiary-related changes may be restricted while the divorce is ongoing. For this reason, estate planning during a divorce should be coordinated with both your estate planning attorney and your family law attorney to ensure your plan is updated appropriately and in compliance with any applicable legal requirements.
Reconsider Agents for Powers of Attorney for Asset Management and Advance Health Care Directive
Many married couples name each other as agents under powers of attorney and advance healthcare directives. These documents authorize someone to make financial or medical decisions if you become unable to act for yourself. During a divorce, one of the first questions many people ask is whether they still want an estranged spouse making those decisions. In many cases, updating these documents is an important step toward ensuring that a trusted family member, close friend, or adult child can step in if needed. While these documents are often overlooked, they can be among the most important estate planning tools to review during a divorce.
Review Beneficiary Designations
Many valuable assets—including life insurance policies, retirement accounts, annuities, and payable-on-death accounts—pass directly to the beneficiaries named on the account and are not governed by your will or trust. During a divorce, it is important to identify all accounts with beneficiary designations and determine whether they still align with your wishes. Depending on the circumstances, there may be restrictions on when and how certain beneficiary designations can be changed while a divorce is pending. Even so, reviewing these accounts early in the process can help prevent unintended outcomes and ensure any necessary updates are addressed at the appropriate time.
Review Your Will and Trust
A divorce often changes how a person wants assets distributed upon death, who should manage those assets, and who should be responsible for carrying out their wishes. For that reason, it is important to review your will and trust as early as possible during the divorce process rather than waiting until the divorce is finalized. Depending on the circumstances, there may be limitations on changes that affect community property interests while a divorce is pending. However, your family law attorney and an estate planning attorney can help identify what changes may be appropriate and whether updates can be made with respect to separate property, fiduciary appointments, and other provisions of your will and trust.
For individuals with separate property, children from prior relationships, or blended families, early planning can be especially important. Taking the time to review your will and trust during the divorce process can help avoid unintended consequences and ensure your estate plan evolves along with your changing family circumstances.
Moving Forward
Whether your divorce is pending or already finalized, reviewing your estate plan should be a priority. The right planning can help ensure the people you trust are in charge, your assets pass to the intended beneficiaries, and your wishes are honored during a time of significant transition. Because estate planning and family law often overlap during a divorce, it is important to work closely with both an estate planning attorney and a family law attorney before making significant changes. Together, they can help ensure your plan protects your interests today while positioning you for the future.