The adjustments that come along with divorce may feel interminable to couples going through it. Reviewing current wills and other estate planning instruments like a living will, financial power of attorney, and health care proxy is a sometimes disregarded but crucial factor for divorcing spouses. Beneficiary designation papers for retirement funds and life insurance policies are additional paperwork that needs to be evaluated. A party’s memory of beneficiary names and other clauses is often not in accordance with the papers. Following a divorce, each of these papers should be carefully reviewed to make sure that it reflects the wishes of each party and complies with the Separation and Settlement Agreement that the parties have agreed to. If a prenuptial agreement was made, it should be examined to see what the surviving spouse would be entitled to in the case of a death.

The parties are subject to Automatic Orders under 22 NYCRR section 202.16-a once an action is filed in New York, and sometimes as part of a written agreement as part of the Collaborative Law process. These Orders impose limitations on the transfer of property while a divorce is pending. Despite this, a celebration might begin preparing for after the divorce. A participant may leave the property in line with his or her preferences with a fresh will. Additionally, he or she may choose an executor to carry out the will’s instructions.

In the uncommon case that both parents pass away prior to the children’s emancipation, a will may additionally specify who will be the children’s guardian. To prevent contradictory rules, it is advised that the appointment of guardians be considered and decided upon throughout the divorce process. It could have unforeseen repercussions. Each party’s will and the Agreement should reflect the choices. The Agreement should provide a deadline for creating and executing new wills.

Estate Planning During a Divorce

Numerous assets flow to the designated recipients without the need of a will. Another reason for carefully reviewing the beneficiary designation is this. The beneficiary designations on life insurance policies, retirement assets like IRAs and 401(k)s, and transfers on death accounts should be amended after the distribution of property has been documented.

Most people cancel their previous powers of attorney and choose new ones after getting divorced.

Even though discussing estate planning may be challenging, particularly at a painful time like divorce, it is often important to make changes to the parties’ estate plans. To guarantee that all papers are correctly drafted and executed, estate planning paperwork must adhere to the laws of the state in which they are being executed. An expert attorney should write all estate planning documentation. When it is clear that the choices they have taken will be carried out by the documentation they have carefully put in place, most individuals feel safer.