There are few things in life more stressful than going through a divorce. There are lawyers. Meetings. Negotiations. Paperwork. It’s enough to make anyone feel stressed and confused. But it’s essential that you keep a clear head when handling the financial issues that surround a divorce. That’s where we can help coordinate all the moving parts with your selected advisors, guiding you through the complicated processes of getting your finances in order during this difficult time but we have the tools and ability to help you through this process with grace..
The first concern for many people going through a divorce is how to divide the proceeds from the sale of a house or splitting up assets in bank accounts. Of course, these are important issues. But they’re far from the only ones you have to worry about.
- If your ex-spouse is a beneficiary of any life insurance policies you hold, consider whether you want to designate a new beneficiary.
- If you have children, they may be designated as primary beneficiaries, but bear in mind that minors cannot receive the death benefit directly. A custodian will need to be named for them.
- If you hold permanent insurance, you should consult with us on how to make sure it continues to meet your protection and income objectives.
- As with Life Insurance, beneficiaries need to be named for your 401(k), IRAs, or other retirement savings accounts to endure your assets go to the right people in the event of your death.
- The rules of most retirement plans require that your spouse is your primary beneficiary unless otherwise designated. If you remarry, your new spouse will become your primary beneficiary.
- If you have children, you will need to consider whether you want them, your ex-spouse, or (if remarried) your current spouse to be the beneficiaries of your retirement accounts by using a trust or custodian.
Wills, Powers of Attorney and Health Care Power of Attorney
- All of your legal documents should be reviewed upon a divorce or separation.
- If you don't have a will, you should create one- especially if you and your ex-spouse have children together.
- Divorce settlements can profoundly alter the provisions set fourth in your will. It is essential to review and revise your will following a divorce.
- Adjustments to whom you originally gave powers to in these documents (executors, power of attorneys and guardians) may need to be changed due to this lifestyle shift.