Going through a divorce requires revisiting all of your long term plans. Your housing situation will obviously change as well as your living expenses and retirement planning. It can seem sometimes that there is no end to the number of times you need to change beneficiary designations or change the status of various joint financial accounts.

In a divorce, some of the most commonly overlooked details are estate planning issues. For example, sometimes the divorced spouses no longer agree on who should become the guardian of their children should both parents become deceased. You will also want to address things such as a life insurance policy. Chances are, you no longer wish your ex-spouse to be the beneficiary if you pass away. Some states have laws that govern these types of situations if there is no clear intent listed in your will. It is far better to make sure your money goes where you want to by making your intent clear.

Equally as important, you need to think about who will look after your financial affairs should you become severely ill or are incapacitated in some way or form. Before the divorce, chances are this person was your spouse, whom you should no longer be relying on to make these decisions after a divorce..

Divorce alters lives in a major way. What was once a united effort becomes separate, and the vision you once shared with your spouse no longer exists. Most importantly, you may no longer share the same plan for the things that are most important to your life. For this reason, it is important to collaborate with your spouse and make sure that you tie up any loose ends that could have a major negative effect on your estate.

Source: PhillyBurbs.com "Collaborative Divorce and Estate Planning Issues," Yvetter Taylor-Hachoose, Oct. 17, 2011