Yes. Divorce is one of the most important times to review your estate plan. Even if Massachusetts law may automatically revoke certain provisions that benefit a former spouse, outdated estate planning documents can still create confusion, delays, and unintended consequences.
Reviewing your will, trusts, powers of attorney, health care proxy, beneficiary designations, and other documents helps ensure they reflect your current wishes and your new circumstances.
Why Divorce Should Trigger an Estate Plan Review
Many people create or update an estate plan after getting married. It is common to name a spouse as a beneficiary, personal representative, trustee, attorney-in-fact under a power of attorney, or health care agent.
After a divorce, those choices may no longer make sense.
Your financial situation, family structure, and long-term goals often change significantly during and after the divorce process. If your estate plan still reflects decisions made during the marriage, it may no longer accomplish what you intend.
Taking a fresh look at your estate plan after divorce helps ensure it reflects your current relationships, financial circumstances, and long-term objectives.
Does Divorce Automatically Remove an Ex-Spouse From Your Estate Plan in Massachusetts?
Massachusetts law provides some automatic protection after divorce. Under G.L. c. 190B, § 2-804, divorce generally revokes many revocable transfers and fiduciary appointments in favor of a former spouse, including provisions in a will and certain other estate planning arrangements.
However, you should not assume every asset, account, or document will update automatically. Powers of attorney, health care proxies, and some beneficiary designations may still require action. In addition, certain employer-sponsored retirement plans may be governed by federal law, which can produce different results.
Because of that, a full review of your estate plan after divorce is still important. Reviewing your documents and account designations helps ensure they reflect your current wishes.
Which Estate Planning Documents Should You Update?
After a divorce, several parts of your estate plan may need attention.
Common documents and accounts to review include:
- Your will
- Revocable living trusts
- Durable powers of attorney
- Health care proxies
- HIPAA authorizations
- Life insurance beneficiary designations
- Retirement accounts, including IRAs and 401(k)s
- Payable-on-death and transfer-on-death accounts
- Guardianship nominations for minor children
Each document serves a different purpose, and each should be evaluated based on your goals following the divorce.
Beneficiary Designations Often Get Overlooked
One of the most common estate planning mistakes after divorce is forgetting to update beneficiary designations.
Many assets pass directly to a named beneficiary and do not go through probate. As a result, beneficiary designations often control who receives the asset regardless of what your will says.
This can include:
- Life insurance policies
- Retirement accounts
- Certain investment accounts
- Bank accounts with payable-on-death designations
It is especially important to review employer-sponsored retirement plans such as 401(k)s and 403(b)s. Federal law may allow a former spouse to inherit these accounts if they remain the named beneficiary, even after a divorce.
Because these assets often represent a significant portion of a person’s wealth, reviewing beneficiary designations should be a priority after a divorce.
Should You Update Powers of Attorney and Health Care Documents?
In many cases, yes.
If your former spouse is named as your attorney-in-fact under a durable power of attorney or as your health care agent, you may want to appoint someone else.
These roles carry significant authority. Depending on the document, the person you appoint may be able to manage finances, access information, communicate with medical providers, or make decisions on your behalf if you become incapacitated.
Many divorced individuals choose to appoint a trusted family member, close friend, or adult child instead.
What If You Have Minor Children?
Parents often need to consider additional estate planning issues after divorce.
While you generally cannot use an estate plan to determine custody arrangements after your death, you can address related matters such as:
- Guardianship nominations
- Management of assets left to children
- Trust provisions that control distributions
- Selection of trustees and successor trustees
A review can help ensure that any inheritance you leave for your children is managed according to your wishes.
Don’t Let an Outdated Estate Plan Create Problems Later
Divorce closes one chapter of your life and begins another. Your estate plan should reflect that change.
At Seder Law, we help individuals and families review and update estate planning documents after major life events, including divorce. If your will, trust, powers of attorney, or beneficiary designations no longer reflect your wishes, we can help you make the necessary updates and ensure your plan works as intended. Contact us today to schedule a consultation.