Estate Planning After a Divorce: What You Need to Know

Going through a divorce changes nearly every aspect of your life, including your estate plan. In Arizona, divorce impacts key elements of an estate plan automatically, but there are additional steps you should take with the guidance of an experienced Arizona estate planning lawyer to protect your assets, family, and future wishes. Working with an estate planning attorney is crucial to ensuring your future wishes align with your new life circumstances and comply with Arizona laws.

Fiduciary designations and powers of attorney

One of the first elements to review post-divorce is any designation naming your ex-spouse in a fiduciary role, such as a power of attorney or medical power of attorney. Arizona law generally revokes these designations automatically upon divorce, but it’s essential to confirm this in your estate documents and assign a new person for these roles. Your new fiduciary should be someone you trust to make financial and medical decisions in your best interest.

Beneficiary designations on wills and trusts

Arizona’s revocation-on-divorce statute automatically removes an ex-spouse as a beneficiary from your will or trust. However, beneficiary designations on accounts like life insurance policies, retirement plans, or payable-on-death accounts may not be affected. Reviewing and updating all beneficiary designations with an estate planning attorney is a crucial step to ensure your assets go to the intended recipients.

Updating your last will and testament

Your last will and testament is the foundation of your estate plan, and divorce is a significant life event that warrants updating this document. Even though Arizona law removes an ex-spouse from your will, you may want to adjust other details, such as appointing a new executor or naming different guardians for minor children if applicable. A thorough review with an estate planning attorney can help ensure your will accurately reflects your post-divorce wishes.

Revoking or modifying trusts

If you created any trusts while married, it’s essential to assess their terms after divorce. Certain types of trusts, like revocable trusts, can typically be modified to exclude your ex-spouse as a beneficiary or trustee. However, irrevocable trusts may be more challenging to modify. Consulting with an estate planning lawyer can clarify what changes are possible based on the type of trust and Arizona’s legal guidelines.

Real estate and property titles

In Arizona, property division during divorce is subject to community property laws, which may affect real estate and jointly-held property. Once a divorce is final, you’ll need to update titles for any property retained solely in your name. This includes removing an ex-spouse’s name from deeds and ensuring that property ownership reflects your current marital status.

Life insurance, retirement accounts, and other financial assets

Post-divorce, reviewing all life insurance policies, retirement accounts, and financial assets is essential. Many of these accounts allow you to name beneficiaries directly, and some require you to update designations after divorce to avoid unwanted distributions. If you fail to update these designations, your ex-spouse may remain a beneficiary, which could conflict with your estate planning goals.

Timing is everything when you need to update your estate plan

Updating your estate plan soon after your divorce is finalized can help avoid potential legal issues and prevent unwanted outcomes. Arizona law’s automatic revocation on certain designations doesn’t cover all aspects of an estate plan, so acting promptly ensures your assets and intentions are protected. By consulting an Arizona estate planning attorney right away, you can address any lingering designations or beneficiary assignments that may conflict with your goals and wishes.

Contact an experienced Arizona estate planning lawyer today

Navigating the legal requirements for estate planning after a divorce can be complex, especially when updating multiple documents and accounts. An experienced estate planning attorney can ensure every detail aligns with Arizona’s laws and helps protect your legacy. At The Law Firm of Brown & Jensen, our attorneys understand the nuances of Arizona estate law and are here to guide you through the process.

Contact us today for a consultation to update your estate plan and make sure it’s tailored to fit your new circumstances. With offices in Mesa, Tucson, Scottsdale, and throughout Arizona, Brown & Jensen is here to help you secure your future and protect your legacy.

"I was able to update my will and do a trust. My questions were all answered." ─ Steven