Filing for divorce late in life can present problems that younger Texas couples do not usually have. Individuals in the mid-life stages have often acquired significant wealth that must be not only protected during life but also properly allocated after death. Many times, a divorce will necessitate a total makeover for an estate plan as well as a personal financial portfolio going forward in life. There are a few basic documents and financial instruments that must be re-evaluated to ensure that they reflect a divorced person’s wishes should a calamity occur.
Wills and trusts
The primary elements of personal estate plans include wills and trusts. Married individuals in Texas typically assume the property of a spouse when an untimely death occurs, so it is vital after divorce to designate other loved ones as inheritors and beneficiaries of any life insurance policies and trusteeships.
Living will designations
While married couples can act in each other’s stead, single individuals should make arrangements for the control of their decisions and finances should they become incapacitated. This typically involves declaring power of attorney in advance of the unforeseen. Some divorcing individuals actually split this duty for medical and financial responsibility oversight. The decision often rides on the makeup of the family and the best individual with respect to trustworthiness.
These are just a couple of estate plan changes that all divorcing Texas couples will want to reconsider. Each person’s financial outlook will be different after divorce, and their wishes for who inherits their assets will likely change as a result of their marriage ending. An effective and efficient estate plan will reflect those personal details.