According to recent news, there has been a rise in divorce inquiries from couples staying in Central Coast, NSW. While divorce can be devastating, estate planning takes the cake when it comes to creating more difficulties in the couple’s lives. You need expert help to wade through such rough waters.
Australian laws advocate for equitable distribution of property after divorce. It means your ex-spouse has 50% rights over your shared assets and belongings. Since a divorce also affects your plans, you may need to revise your plan after divorce.
Here are a few reasons to work with the best lawyers Central Coast for estate planning after divorce.
Update Important Documents After Divorce
According to Australian inheritance laws, if the couple did not have any children, the spouse will inherit all property. If you had made a will while in a relationship, you would have signed a general power of attorney and healthcare power of attorney. The latter lets you decide who controls what happens to you if you are in a vegetative state after an accident.
A healthcare power of attorney is a legal document that empowers a specific individual to make crucial decisions on your behalf, with respect to your medical conditions, treatment and care.
If you have named your ex-spouse or ex-in-laws in the will, you need to create new documents and name someone else in these documents. Lawyers can help you update these documents to protect your interests.
Create a New Will
Divorce has a significant effect on a person’s life. As per Australian laws, a divorce will automatically invalidate a will. However, the laws permit you to create a new will during divorce proceedings in court.
Expert lawyers in Central Coast can create a new will on your directions, but you have to wait until the divorce is finalised for it to take effect.
While the court will ignore the part of the will that mentions you have left a certain amount of money and property to your ex-spouse, things may become complicated if your will gives your in-laws rights to your property.
If you have made a will, you also need to mention the executor of the will. The executor of the will has several duties to fulfil, including notifying all beneficiaries in your will and managing the property and goods left in the will. Other duties of an executor will include completing tax returns and getting clearance from the Australian Tax office.
As per Australian laws, the executor of the will can deny the responsibility. In that case, the next executor (mentioned in the will) will perform the duties. The executor of the will has one year to execute the will.
If you had mentioned your ex-spouse as executor of the will, they might not be interested in performing the executor’s duties after divorce. Hence, you need to make a new will and name a new executor for it.
Update Trust Related Documents
If you had created a revocable living trust to manage your property, you need to update these documents after divorce. Many Australian couples set up joint trusts or name each other as trustees who will manage the trust if any partner passes away.
There is a possibility your ex-spouse is a beneficiary in the trust, and you would want to make changes to remove them. Lawyers look at all such details and ensure you don’t forget these.
Update Life Insurance, Retirement Accounts
State laws that automatically provide annulling of certain agreements after divorce do not apply to life insurance or retirement accounts. Top lawyers on the Central Coast can help protect your rights.
Remember, the beneficiary designations remain the same until you apply for making changes. A family lawyer can help you update your retirement accounts, life insurance accounts and ensure your ex-spouse does not remain a beneficiary in these accounts.
Update Enduring Power of Attorney
It is common for married couples to give power of attorney to the spouse to legally represent their partner and take decisions on their behalf. If you have made an enduring power of attorney, an estate planning lawyer will help you update your POA and reflect on new changes and situations in your life.
The lawyer will work to protect your estate and assets from your ex-partner and ensure there is no misuse of the POA document to get control of your estate and assets.
Divorce is undoubtedly one of the most challenging times in a person’s life. It alters your relationship with your ex-spouse, children and in-laws, but it does not affect your estate planning documents.
Hence, you need to contact an estate planning lawyer after applying for a divorce. The lawyer will inspect all documents that need to be updated and take necessary steps to ensure that they are updated, preventing your spouse from taking advantage.