Texas couples who are going through a divorce may be so overwhelmed by all the important decisions and considerations that form part of the process that they fail to pay attention to practical issues that may affect their post-divorce financial stability. That is quite understandable because most people are in emotional turmoil at such a difficult time. However, qualified advice for all aspects of a divorce is available.
Matters that may need attention post-divorce include obtaining a new credit report after ensuring future reports will have the updated personal information. It is also vital to review beneficiaries if that was not addressed in the divorce settlement. A former spouse will have to be removed as the primary beneficiary of retirement plans, insurance policies, IRAs, annuities and transfer on death accounts.
Wills and trusts may also need reviewing. If this is left undone, a former spouse or ex-in-laws may remain as trustees on an established trust. A newly-divorced person may want to remove an ex-spouse’s name from wherever it appears in a will or trust. The care providers for children in the event of the parent’s death or disability may also need to be altered.
Establishing a new trust for young children as a beneficiary for financial accounts may be appropriate. Naming a trustworthy trustee to manage underage children’s inheritances may avoid an ex-spouse taking charge of it. This is a lot to cope with, and the guidance and advice of an experienced Texas family law attorney may be invaluable. Lawyers usually have access to other resources such as financial advisers, and their guidance may provide post-divorce peace of mind.
Source: accountingtoday.com, “Tax Alpha Tip of the Week: A Post-Divorce Checklist”, Accessed on Aug. 21, 2015