A divorce changes far more than your relationship status-it should also trigger a comprehensive review of your entire estate plan. Unfortunately, in 2025, many people are still unknowingly leaving critical documents untouched, allowing ex-spouses to remain in control of their finances, healthcare decisions, and inheritance.
Failing to update your estate plan after divorce could mean:
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Your ex receives your assets or life insurance
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They still have legal power over your healthcare or finances
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Family members are left in conflict over what you really wanted
Contact us by either using the online form or calling us directly at 414-253-8500 for legal assistance.
Why Post-Divorce Planning Is Essential in 2025
In recent years, divorce laws and estate planning have become more complex. States have revised statutes to automatically remove former spouses from certain documents-but these laws do not apply to all assets, and mistakes are still common.
Here's what's changed in 2025:
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More employer retirement plans still honor outdated beneficiary forms
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Healthcare systems now require updated HIPAA and POA forms to recognize decision-makers
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Ex-spouses may still own property jointly unless retitled
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Insurance providers and financial institutions still follow the documents on file, not your intentions
Bottom line: if you don't update your documents, you're leaving your estate and medical care vulnerable to old paperwork and unintended consequences.
Key Estate Planning Documents to Update After Divorce
1. Your Will
Your will should reflect your current wishes, not your life before divorce. Update to:
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Remove your ex-spouse as a beneficiary
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Name a new executor (the person who manages your estate)
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Redirect inheritance to your children, siblings, or chosen heirs
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Include a guardian designation if you have minor children
Even if your state removes an ex-spouse from your will by law, failing to name a new executor or beneficiary can result in court involvement and delays.
Explore our wills page to understand how a valid will protects your estate and avoids family disputes.
2. Durable Financial Power of Attorney
In many cases, people name their spouse as their financial power of attorney-granting them full authority to handle accounts, property, and contracts if incapacitated.
After divorce, this should be changed immediately. Your new POA can:
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Manage real estate or rental income
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Pay bills, taxes, or settle debts
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Coordinate financial decisions during illness or disability
Without updating this, your ex could still legally act on your behalf-a risk no one should take.
3. Healthcare Power of Attorney and Advance Directive
Your healthcare power of attorney gives someone the legal authority to make medical decisions on your behalf if you are unable to do so. If your former spouse is still listed as your healthcare agent, they may legally be consulted about life-or-death decisions unless you update this document.
Post-divorce, you should:
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Revoke any prior healthcare POA naming your ex
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Appoint a new healthcare agent you trust
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Review and update your advance directive to reflect your wishes for end-of-life care
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Sign a new HIPAA authorization form to allow trusted individuals to access your medical information
To ensure your choices are honored, review our healthcare directives resource to make sure you're protected.
4. Beneficiary Designations on Financial Accounts
Some of the most common post-divorce estate planning errors involve retirement accounts, life insurance, and bank accounts. These assets often pass outside your will, meaning whoever is named on the account will receive the funds-regardless of your current relationship.
You should review and, if necessary, update the following:
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401(k), IRA, and pension beneficiaries
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Life insurance policies
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Pay-on-death (POD) and transfer-on-death (TOD) bank accounts
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Health savings accounts (HSAs)
Many institutions still honor outdated beneficiary forms, even after divorce, unless your state law invalidates them-and some don't.
5. Trusts and Joint Ownership Arrangements
If you and your ex-spouse created a revocable living trust, you'll need to:
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Remove your ex as co-trustee or beneficiary
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Possibly terminate or divide the trust
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Retitle any property that remains in the trust into individual names
Also, review any real estate or financial accounts held in joint tenancy with rights of survivorship. Without removing your ex from the title, they may still automatically inherit full ownership at your death.
Contact an Attorney for Estate Planning After Divorce
Divorce is a new chapter-and your estate plan should reflect that. At Heritage Law Office, we help newly single individuals take control of their legal, medical, and financial future by revising outdated documents and creating post-divorce protection plans.
Call 414-253-8500 or contact us online to update your will, power of attorney, and beneficiary designations.
Frequently Asked Questions (FAQs)
1. Do I need to create a new will after divorce?
Yes. While some states automatically revoke gifts to an ex-spouse in your will, it's not enough. You need to create a new will that names new beneficiaries, a new executor, and reflects your current wishes. An outdated will can lead to court battles and unintended consequences.
2. What happens if I forget to change the beneficiary on my life insurance?
If your ex-spouse is still listed as the beneficiary, they may receive the payout, even if your divorce decree says otherwise. Some courts may honor the designation unless you've updated it in writing. Always review and change beneficiaries directly with the insurer or account holder.
3. Should I change my power of attorney after a divorce?
Absolutely. If your former spouse is named as your financial or healthcare agent, they may retain legal authority to act on your behalf unless you revoke it and sign new documents. This is a serious risk and should be addressed immediately.
4. Can my ex-spouse still inherit property we owned together?
It depends on how the property is titled. If it's held in joint tenancy with right of survivorship, your ex could automatically inherit your share-even after divorce-unless it's retitled. Speak with an attorney to remove your ex from deeds or jointly owned accounts where appropriate.
5. What estate planning steps should I take if I have children from the marriage?
You should consider updating your will or trust to:
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Name a guardian for minor children
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Set up a trust to manage their inheritance
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Appoint someone other than your ex to handle money for your children if you pass away
Proper planning ensures that your children are protected-and that your ex does not retain unintended control over their inheritance.