ESTATE PLANNING ISSUES FOLLOWING DIVORCE (PART 3 OF 4)
The emotional turmoil of divorce can be overwhelming or liberating depending on ones perspective. While it is commendable and responsible for families to do estate planning, there are some issues to be considered following divorce.
(1) If your original plan was to leave everything to your now ex-spouse and then to your children, your ex-spouse may still get everything if you do not modify your estate plans following divorce.
(2) You also do not want to leave your children in a position to be disinherited should your ex-spouse re-marry following the divorce.
Divorce does not need to cause future legal problems.
Guardianship & Re-marriage issues
In a perfect world, if something happened to one parent, the other parent would assume guardianship of the minor child. However, this assumes that the non-custodial parent desires to raise the child and is fit to do so. If your ex-spouse is likely to assume guardianship, they will be responsible for providing a residence for your child, provide for care and support and education.
If you are concerned that monies left to a child may not be used as you wish if your ex-spouse has access, you can designate in a Revocable Living Trust (RLT) that your successor trustee provide for specific items out of the funds of the trust such as private school tuition, extra-curricular activities, a car at a certain age, college applications and tuition. As a parent, you can protect your child’s inheritance by having an RLT in place with trustee to carry out your wishes as specifically designated. The money would not be paid directly to the guardian (your ex-spouse), but would truly be for the benefit of your child. This also protects your assets, which should be for the benefit of your children; from getting into the hands of your ex-spouse’s new spouse should he or she remarry.
You should also consider naming successor guardians in the event your ex-spouse does not want to raise your kids or is otherwise unavailable.
Should you want to speak with an estate family attorney to discuss a revocable living trust and to determine a personalize estate plan for your life after divorce, contact Attorney Melissa O’Connor
Call: 954-637-1300
Email: [email protected]