Key Takeaways
- A final divorce decree may still require follow-up steps, including property transfers, account changes, retirement asset division, and ongoing support or insurance obligations.
- Beneficiary designations, estate-planning documents, powers of attorney, and healthcare directives should be reviewed after a divorce because not everything changes automatically.
- Bank accounts, credit cards, insurance policies, passwords, emergency contacts, and other everyday arrangements can be easy to overlook.
- Business owners may need to update operating agreements, ownership records, succession plans, banking authority, and other business documents.
- Divorce can significantly change your financial picture, making it important to involve the appropriate legal, tax, financial, or insurance professionals as needed.
Reaching the end of a divorce can feel like reaching the finish line. The agreement has been signed, the court has entered the final decree, assets have been divided, and both parties can begin moving forward.
But there may still be work to do. A recent article from HLB Gross Collins on estate planning after divorce raised an important point: the legal end of a marriage can affect documents, accounts, property, financial arrangements, and other decisions that may not automatically change when the divorce becomes final.
While every situation is different, several areas are worth reviewing after a Georgia divorce.
Make Sure the Divorce Agreement Is Actually Carried Out
A final divorce decree establishes the parties’ rights and obligations, but some of its terms may require additional action.
You may need to transfer or refinance property. Titles and deeds may need to change. Retirement assets may require additional documentation before they can be divided. Accounts may need to be closed or separated. Insurance obligations, support payments, or other requirements may continue after the divorce.
This is a good time to review the final agreement and make sure the steps required of both parties have been completed or are underway. If your former spouse isn’t complying with the terms of the decree, you may have legal options to enforce it.
Review Beneficiaries and Estate Planning Documents
Divorce can also create some less obvious estate-planning issues. Under Georgia law, provisions in a will benefiting a former spouse are generally treated as though the former spouse predeceased the person who made the will once the divorce or annulment is final. But that doesn’t mean every financial or estate-planning document automatically changes with a divorce.
Beneficiary designations on life insurance policies and other accounts deserve particular attention. Depending on the type of asset and governing law, the person named on the beneficiary designation may still be entitled to receive it unless the designation is properly changed. Retirement plans can involve additional federal-law considerations, so it is important to get appropriate advice before making changes.
Powers of attorney, healthcare directives, trusts, and other estate-planning documents should also be reviewed to make sure they still reflect your wishes and name the people you want making decisions on your behalf.
BRAWW Law does not prepare wills or provide tax planning services, but we can help clients identify when issues arising from a divorce should be addressed by an estate-planning attorney, CPA, financial advisor, or other professional and make referrals when appropriate.
Don’t Forget the Things That Aren’t Legal Documents
Some of the easiest things to overlook after a divorce aren’t part of the divorce decree at all.
Consider your bank and investment accounts, credit cards, insurance policies, emergency contacts, medical authorizations, online accounts, subscriptions, passwords, and other places where your former spouse may still be listed or have access.
Business owners may have an additional layer to consider. If a divorce affected ownership of a company or professional practice, review operating agreements, shareholder agreements, buy-sell provisions, succession plans, banking authority, and other business documents to make sure they remain consistent with the new ownership structure and the terms of the divorce.
Look at the Financial Picture That Comes Next
Divorce changes more than who owns which assets. It can change your overall financial picture.
Your income and expenses may look different. Your tax filing status may change. You may be paying or receiving alimony or child support. Retirement plans may need to be reconsidered. Insurance needs can change, as can decisions about housing, investments, and longer-term financial goals.
Those aren’t all issues for your divorce attorney to solve. In many cases, the right next step is a conversation with your CPA, financial advisor, insurance professional, or another specialist who can help you understand how your new circumstances affect the decisions ahead.
Finishing the Divorce Is Different From Finishing the Transition
One of the reasons post-divorce details get overlooked is understandable: by the time a divorce is final, most people are ready to be done with it. But taking some time to review what still needs to change can prevent old documents, outdated beneficiary designations, unfinished transfers, or other loose ends from creating problems later.
BRAWW Law helps clients throughout the divorce process and with post-divorce issues, including modification and enforcement of existing judgments. We can also help identify when another professional should be involved and connect clients with estate-planning attorneys, accountants, financial advisors, and others who can address issues outside our practice.
If you have questions about your divorce decree, obligations that remain after divorce, or other family law matters, contact us to discuss your situation.