When you created your estate plan, you may recall being told or reading somewhere that it will need to be modified when certain life events and family changes occur. If you’re preparing to divorce or already in the process, that is one of those changes.
Divorce can necessitate a number of changes depending on how much your soon-to-be ex is part of that plan, whether you have children and how you and your spouse divide your property. There may even be terms in your divorce agreement that require certain additions or changes.
Every situation is unique, which is why it’s important to consult with an estate planning professional as soon as possible to discuss yours. Here we’ll address one of the most commonly asked questions.
Can I disinherit my spouse before the divorce is final?
While you can likely remove your spouse as a beneficiary any time, you can’t prevent them from claiming a share of your estate if you passed away before the final divorce decree was issued. The primary exception would be if they had already agreed to receive no inheritance via a prenuptial or postnuptial agreement. Under Kentucky law, surviving husbands or wives can “renounce” a will and claim a portion of their deceased spouse’s estate.
Once the divorce is final, you don’t need to remove your ex as a beneficiary because the law does it automatically. However, it’s wise to at least make sure that your alternate or contingent beneficiary is the person you still want to receive that inheritance. If you still want your ex to inherit some of your assets (or it’s required under the divorce agreement), you’ll need to modify your estate plan to specifically state that.
The law that automatically disinherits a spouse upon divorce doesn’t apply to beneficiary designations outside the estate plan. For example, if your spouse is a beneficiary of any individual investment accounts you have, you’ll need to contact the company that holds and manages the accounts.
Just as with beneficiary designations, divorce “revokes…any provision conferring a general or special power of appointment on the former spouse, and any nomination of the former spouse as executor, trustee, conservator or guardian, unless the will expressly provides otherwise.”
It may be necessary to get estate planning support both during the divorce and after it’s final. This can help ensure that your estate plan reflects your current wishes and complies with the law.