Divorce, the permanent dividing of a couple’s marriage. Along with the division of a life spent together comes the division of assets and liabilities, termed in the legal world as financial considerations. Emotions usually run high during the divorce proceedings, and often clear thinking and rational thought fly out the window. Hopefully, your attorney or legal professional will advise you on how to plan for sound financial considerations, but it is a good idea to be forewarned and knowledgeable on your own. Here are some warnings on the common financial mistakes made during a divorce and how you can avoid making them:
- Not knowing how money has been spent during the marriage can hurt knowing how much money you will need to live on following the divorce. Take time to look back to figure out how much you spend on self-care as well as overall living expenses. Whenever possible, have proof of your financial needs such as receipts, medical costs and prescriptions, required job-related training, and fitness costs.
- Not having proof of financial expenditures or the value of assets. Dig as deep into the past as you can to acquire as much evidence as possible.
- Not looking at the overall picture of the financial history of your marriage as well as an overall picture of your future following the divorce. Try to look at your finances, incomes, and outgoes with an in-depth approach to individual situations at the same time to the total impact on your finances.
- Not understanding pension and retirement benefits already in place and who should receive what. Check with the holders of these benefits to see who is eligible and what form of paperwork is required to be filed with the final judgment.
- Not understanding that equitable distribution is not the same as equal distribution. And, sometimes, it doesn’t seem to be even fair distribution. The court considers many issues when dividing assets and liabilities so that you may be disappointed in the final outcome. Being honest and having excellent proof of your financial affairs will help you receive your fair share.
- Not understanding that a jointly held credit card will continue to be the responsibility of both parties following a divorce, no matter who used it during the marriage or if one party did not know their name was on the account. It is best to pay off credit cards prior to divorce as credit card companies do not care who supposed to pay the account, just that the account is paid.
- Not taking any form of alimony if you are entitled to it. You cannot go back to court after a divorce to request alimony.
- Not considering future inflation when figuring out future expenses. Check with a financial advisor on how to factor in the cost of living increases.
- Not trying to keep attorney costs Try not to bother your attorney unless necessary and be willing to forgo expensive legal extras. If possible use mediation to create your marital agreement thus avoiding the court costs, a judge making decisions you and your spouse could make, a lengthy wait for your day in court, and all the extra legal fees your attorney will charge for his or her time and legal maneuvers such as depositions, interrogatories, and special investigations.
- Not realizing you can’t buy love or remove guilt by overspending on your children.
The financial side of a divorce is frequently the most difficult part. Finding an experienced, successful Family Law attorney who knows well the ins and outs of handling the financial hurdles of divorce will be the best way to avoid making financial mistakes.
If you are living in Florida then opt for Divorce Lawyer West palm beach garden where you can gain legal assistance from a well-experienced lawyer that is compassionate, dedicated and reliable.