Most people who are considering divorcing their spouse have given some thought to the obvious issues arising from divorce, such as what will be done with the family home or how they will continue to financially support their children. Unfortunately, there are some less obvious considerations that many people fail to consider until it is too late.
It is vital that you consult a family law and divorce lawyer as soon as possible when you decide to separate from your spouse. Even if you and your spouse agree on how to proceed after a divorce, there may be an issue that neither of you have considered and that issue may end up costing you both.
Contact one of our Richmond Hills wills and estates lawyers today. Our legal team may be able to help you deal with issues such as wills, powers of attorney and other things to consider when getting a divorce.
What Happens to Your Will When You Get A Divorce?
When your divorce is finalized, any provisions in your will that name your ex-spouse as a beneficiary, an executor or a trustee will be considered void. If you have not updated your will since your divorce, you need to do so right away to avoid making things complicated for your family after you pass.
If you have separated from your spouse but are not yet divorced, your will remains valid until your divorce. Consider whether this reflects your wishes. Many people choose to update their will immediately upon separation.
Does A Divorce Void Your Power of Attorney?
Contrary to your will, your divorce does not automatically void any provision that names an ex-spouse as your attorney for personal care or property. Many people choose to update their Powers of Attorney as soon as possible after they separate.
Tax Considerations
You may realize that there will be some tax consequences to your divorce. But did you know that some of those consequences can differ depending on timing?
For example, you may be able to take advantage of a spousal roll-over, which enables one spouse to transfer certain property to the other spouse without triggering capital gains tax. The catch is that in order to take advantage of this exemption, the property transfer must take place before your divorce is finalized. An experienced family lawyer can help you to minimize the tax consequences of your divorce.
Pension Considerations
Similarly, you may want to take any pension benefits into account before you separate. Under Ontario pension law, as soon as you separate, you are no longer eligible to receive a survivor benefit from your spouse’s pension when your spouse dies, except in specific circumstances. Your lawyer can make sure that you fully understand your rights as they relate to your spouse’s pension or your own pension so that you can make informed decisions about your future.
Contact Blackburn Lawyers Today For Legal Assistance
There are certain steps that can and should be taken as soon as possible after separation (or even before separation) to best protect you and your family. Contact our team of Richmond Hill divorce lawyers today to discuss wills, Powers of Attorney, and other things to consider when getting a divorce. Call 905-884-9242 today to chat with our legal team.
* Please note that the information in this article is not intended as legal advice, but rather as a general overview on the subject. If you are seeking legal advice, please consult with a lawyer.
