(262) 360-6930
Divorce marks the closing of one chapter, and the beginning of another. Amid the legal paperwork, emotional transitions, and shifting routines, updating your estate plan may not be on your priority list. But that’s exactly why it deserves your attention now, because it’s a chance to take control and build clarity into your new life.
In Wisconsin, the law provides some built-in protections. Once a divorce (or annulment) becomes final, many references to an ex-spouse in wills, trusts, or powers of attorney are automatically revoked. In those cases, the law treats your former spouse as though they had passed away before you. But this protection is not absolute. Certain beneficiary designations, especially on retirement accounts, insurance policies, and other contracts, can still send money directly to an ex if they are not updated. That’s why reviewing your estate plan after divorce is more than a formality: it’s essential.
Why People Delay and Why You Shouldn’t
- Emotional fatigue: After divorce, many simply want to move on and avoid more paperwork.
- Assumption that the divorce judgment covers everything: It’s easy to assume the divorce decree covered everything, but in Wisconsin it doesn’t automatically rewrite your IRA, your life insurance, or who makes medical decisions.
- Overwhelm: Estate planning feels like “one more thing” when you’ve just finished a long legal process.
But waiting means your plan may not match your reality. The peace of mind from knowing your wishes will be honored is well worth the effort, and often the updates are simpler than expected.
Key Areas to Review After Divorce
Here are some of the most important updates to make (and what to watch out for):
- Beneficiary designations
Wisconsin’s automatic revocation rules do not reach every asset. Retirement plans, life insurance, and annuities are controlled by their own beneficiary forms. If your ex is still listed, that designation may override your divorce judgment. Update these forms directly with each company. - Will / Trust instructions
Even though many provisions naming an ex-spouse are revoked by law, it’s cleaner and safer to rewrite your will or trust. You’ll want to choose new beneficiaries, personal representatives, or trustees who reflect your current relationships. - Powers of Attorney & Health Care Proxies
Wisconsin law ends a spouse’s authority under a financial or health care power of attorney once a divorce or annulment is final. Still, you’ll need to appoint a new agent. Otherwise, no one may have legal authority to act for you in an emergency. - Guardianship / Trusts for Minor Children
If you share minor children, revisit guardianship nominations and any trusts. The right choice before divorce may not be the right one now. Consider naming alternates you trust to protect your children’s future. - Flexibility for Future Relationships
Life often brings remarriage or blended families. Updating your plan now can prevent conflict later by setting clear terms for how future partners and stepchildren fit into your estate.
Scenario: A Real (Hypothetical) Pitfall
Imagine that Sarah divorces David. Wisconsin law cuts David out of Sarah’s will and voids his role under her power of attorney. But Sarah forgets to change her life insurance beneficiary. Years later, when Sarah passes away, the insurance company is legally bound to send the proceeds to David – not her children or siblings. A simple beneficiary form could have prevented that outcome.
How to Make the Process Manageable
- Start simple: Pick one document (say, life insurance) and update that first.
- Gather all your current documents: Locate your will, trust, POAs, and policies.
- List key people: Decide who should make financial or health care choices for you now.
- Talk it out: You don’t have to make decisions in a vacuum. Work with a trusted friend, a co-parent, or a trusted advisor.
- Schedule a planning session: An estate planning attorney can help formalize updates and make sure nothing slips through the cracks.
What People Worry About (And Why You Can Be Reassured)
- “It’s too expensive.” Updating documents can often cost far less than starting from scratch.
- “I’ll jinx something by planning.” That’s a myth. Having a plan is not an invitation to trouble, but rather a tool to mitigate it.
- “What if I pick someone now and later regret it?” You can always change your plan. Most estate planning documents allow revisions as life changes.
- “I don’t want to think about mortality.” It’s uncomfortable, but planning is an act of care for yourself and those you love.
Final Thought
Divorce closes doors, but it also opens space to rewrite your future. By revisiting your estate plan now, you’re choosing clarity, independence, and protection for the people you care about most.
If you’d like guidance in reviewing your Wisconsin estate plan after divorce, I’d be honored to walk through your options and craft documents that reflect where you are today.
Disclaimer: This post discusses Wisconsin law in general terms and is for educational purposes only. It is not legal advice, and reading it does not create an attorney-client relationship. For advice about your specific circumstances, please consult a qualified Wisconsin estate planning attorney.
