If you will be going through a divorce this year and you have an estate plan in place, it’s important to be aware of any updates that you’ll need to make to it. It’s also wise to consider when those updates can be made.
Every estate plan (like every divorce) is unique. Here we’ll discuss a couple of matters that are relevant in most every situation.
Can you remove your spouse from your will?
Once a marriage is officially terminated, the law treats the spouse as though they predeceased the person who created the will (testator). That means any assets left to them would go to the contingent or secondary beneficiary, if there is one.
It’s wise to look at your will and make sure that you’re fine with that contingent beneficiary getting the designated assets. If you don’t have one, you’ll want to update your will. If you still want your ex-spouse to inherit from you, or there’s some requirement in the divorce agreement that they do, you’ll need to specify that with an update to your will.
When can you remove any POA designations for your spouse?
Likely you’ve given your spouse power of attorney (POA) over your finances and health care. It’s understandable that if you’re divorcing, you may not want them to continue to have that authority.
Washington law states that a POA terminates when an “action is filed for the dissolution or annulment of the agent’s marriage to the principal or for their legal separation…unless the power of attorney otherwise provides.” This means you’ll need to address that when the divorce filing occurs. Of course, there’s no requirement that a spouse has this authority, so you should be able to change it at any time.
It’s important to review and potentially update other beneficiary designations outside of your estate plan. For example, your spouse may be a beneficiary of your retirement and investment accounts. These need to be updated directly with the entity that holds these accounts.
All of this is a lot to consider in the midst of a divorce. However, it’s wise to talk with an experienced estate planning professional as early as possible to help ensure that there aren’t any unnecessary complications if anything happens to you during or after the divorce.