“Divorce Estate Plan” Estate Planning During & After Divorce

Divorce can affect more than your finances—it can also affect your estate plan. In Ohio, some changes occur when a divorce is filed, while others generally take effect when it is finalized. Review your will, financial and healthcare powers of attorney, and beneficiary designations early in the process to understand what changes automatically and what needs your attention.

You’ll want to consult with a divorce estate planning attorney as soon as the divorce decree is issued.

 

Divorce Estate Planning

Protecting Your Best Interest

If you named your spouse to make financial or healthcare decisions for you, review those appointments when separation or divorce becomes likely.

In Ohio, filing for divorce generally ends a spouse’s authority under a financial power of attorney unless the document states otherwise. Healthcare powers of attorney follow different rules, so you should not assume filing automatically removes your spouse as your healthcare agent.

Review each document to make sure the people you have chosen still reflect your wishes.

 

Protecting Your Assets

Under Ohio law, marital assets are divided on an equitable basis. This means that rather than splitting all jointly owned property 50/50, the judge in your case will aim for a division that is fair, but that doesn’t necessarily mean even. Only marital assets are considered during this process, which means any property you owned prior to marriage, including personal gifts or family inheritances may be exempt from these proceedings.

To protect your assets, it is important to do the following as soon as the prospect of an impending separation or divorce becomes likely.

• Make a complete inventory of marital property and assets. This includes homes, cars, furnishing, and all financial accounts.
• Make a list of any debts that are currently owed, including personal loans, mortgages and credit card balances.
• Establish an individual checking and savings account, then transfer pay or benefits directly to these accounts.
• Make a list of how you and your spouse's separate contributions to your assets, as well as your individual spending habits.

Divorce brings important changes to your life and your estate plan. I help clients in Galloway, Grove City, and surrounding communities review their documents and understand what may need updating. Contact me to discuss your next steps.