Financial aspects of Divorce
- by James Walsh
- Published on 1/2/08
- Article views: 290
The financial aspects of divorce are numerous and very complex especially for the spouse who has not been handling the finances of the family. It has a lasting impact on your future and the future of your children. Divorce can have more financial impact on your life than just buying a new house or planning a retirement. Do not willingly give up what is rightfully yours, especially if you are the one with the custody of children.
Do not assume that your attorney will protect you financially too. It is the job of a financial planner to assess the real value of your assets, taking tax consequences into consideration and to provide you with financial planning advice prior to a divorce settlement. That is why having a divorce financial planner working with your attorney is an invaluable investment in your future.
A divorce financial planner is a divorce professional be it a lawyer or an accountant who has completed the specialised training in the financial issues of divorce through a recognised institute of divorce finance like the Academy of Financial Divorce practitioners. A financial planner must also fulfill ongoing continuing education requirements and adhere to a strict code of ethics.
Having an expert to guide you increases the chances of arriving at a settlement that fully addresses your long term financial needs and capabilities and those of your spouse as well. It allows both the partners to have a clearer view of their financial futures. A financial planner also advises you on the liquidity of assets, the joint loans, interest and debt payments associated with your share of assets.
A financial settlement consists of an agreement on issues such as alimony, child support and division of property. Division of marital assets like house, cars, retirement plans, insurance policies, stock holdings, tax refunds and payments, artworks and antiques, mortgages, loan payments, credit card balance are also included.
Before approaching an attorney, mediator or a planner try and do the spade work regarding your finances. List your marital assets and get appraisals where necessary like art works and antiques. Calculate the child support needs to cover food, housing, day care, clothes, school supplies and other expenses. Get written confirmation from your spouses employer of your spouses salary, vacation balance, bonuses and stock options. Have a good idea of your spouses income potential.
Try and reach an out of court settlement amicably. Ask your attorney to prepare a proposal after consulting your financial planner keeping specific requirements in mind. Encourage your spouse to do the same and present it to you. If it is not possible then the court will decide that for you.
Once it's clear that a divorce is imminent, cancel any joint bank accounts and open individual accounts. Cancel all credit cards and get new ones in your own name. Close all unused credit accounts, and notify your creditors of your change in marital status.
Even while a final decision is being made other factors come into play like the law in your state. Some states go for equal division of property while others go for equitable division which is different from equal division.
Once the settlement in is place and the divorce has been granted there is post divorce financial planning to be taken care of. As you cope with other effects of divorce it is important to wrap up your financial divorce too.
After your assets have been legally divided, change names on house deeds, stocks and bonds, and car titles, as necessary. Change beneficiaries on investments, retirement plans, life insurance policies, and savings accounts. Update your will. Check your credit report to make sure your spouse hasn't incurred debts in your name since your divorce or separation.
Also, keep copies of any support cheques you have made or received. Keep an ongoing account and ledger of payments and retain all supporting documents. Prepare a financial plan for the next year by setting short, medium and long term goals.
Start saving whatever you can. Prepare a post divorce timetable for future events such as anticipated change in the amount of child support due to child graduating from high school or dates of major payments to be made.
Divorce can be financially devastating for one or both parties; it often results in lower standard of living than earlier. However, educating yourself and taking a few precautions can reduce the ill affects.
James Walsh is a freelance writer and copy editor. If you would like more information on how to get a quickie Divorce see http://www.quickie-divorce.com
James Walsh is a freelance writer and copy editor. For more information on Data Recovery see http://www.fields-data-recovery.co.uk
More Articles
-
-
-
» Latest articles
-
» Highest rated articles
- Financial aspects of Divorce
Divorce is a complicated process with severe emotional implications. Its first casualty is your family, home and your children. There are, however, many financial challenges associated with divorce. That is why it is important especially for women to know their rights and obligations. This knowledge protects one from future distress and makes the whole process less expensive if not less painful.
- How To Make Your First Date Unforgettable
The first date always special to any person. So, if you don't want to mess up things and play your cards well, just go through our tips. Setting up your first date at the right time and at the right place is a must to make it etched in your mind.
- Are You Dating The Wrong Guy?
Dating is like a fairyland for many individuals who believe they will find the right partner after they start their first dating experience. On the other hand, for some, this is a make believe concept. For them, finding the right person is something that takes a lot of time. But what happens when you are at the door of a serious relationship, how would you know if you have chosen the right guy?
- Afro American Dating - A Guide To Online Websites
Are you an afro-american person? Do you seek that special someone? This article will try making it easy for you in getting an on-line date. I will try to underline some of the ups and downs in on-line dating; why should you and why shouldn’t you try this type of dating.
- How to Make Friends When You Think Nobody Likes You
Do you feel like no matter how hard you try, other people still dont like you? Learn what you can do to make friends when it seems as if people dont like you.
- Financial aspects of Divorce
Divorce is a complicated process with severe emotional implications. Its first casualty is your family, home and your children. There are, however, many financial challenges associated with divorce. That is why it is important especially for women to know their rights and obligations. This knowledge protects one from future distress and makes the whole process less expensive if not less painful.
- Afro American Dating - A Guide To Online Websites
Are you an afro-american person? Do you seek that special someone? This article will try making it easy for you in getting an on-line date. I will try to underline some of the ups and downs in on-line dating; why should you and why shouldn’t you try this type of dating.
- How to Make Friends When You Think Nobody Likes You
Do you feel like no matter how hard you try, other people still dont like you? Learn what you can do to make friends when it seems as if people dont like you.
- Are You Dating The Wrong Guy?
Dating is like a fairyland for many individuals who believe they will find the right partner after they start their first dating experience. On the other hand, for some, this is a make believe concept. For them, finding the right person is something that takes a lot of time. But what happens when you are at the door of a serious relationship, how would you know if you have chosen the right guy?
- How To Make Your First Date Unforgettable
The first date always special to any person. So, if you don't want to mess up things and play your cards well, just go through our tips. Setting up your first date at the right time and at the right place is a must to make it etched in your mind.
- Resell Rights - What You Need To Know
Resell Rights allow you to purchase a product and redistribute it keeping 100% of the cost and these particular rights may come with specific restrictions such as a specified cost of resale.
- How To Run Your Commercial Cleaning Business
Starting any kind of business can be scary, no matter what it is. It can be a great experience or a terrifying one. It might even be both. If you're new in the business world and have just started your own commercial cleaning business or are thinking about it, the part that you might have not considered is how to run one. Yes, the daily grind of being a business owner. It will be a daily grind that is challenging, exciting but best of all, yours.
- SEO Certification - A worthless exercise or a sound investment?
Until and unless Search engine marketing industry decides on a set of standards which is endorsed by search engines, these certifications will only have cosmetic value.
- Buying a Carpet Extractor
If you're researching carpet extractors, you probably have a good idea about what they can do, Carpet extractors range in price from under $100 to well over $1000, so it's a good idea to get some advice before buying.
- The Real Face Of Alcohol Addiction
Just when you thought you already know everything there is to know about alcoholism and then you came over this article, you will definitely think again. Alcohol has more harm than you can ever imagine. On the other hand, there is more treatment than you may have expected.
- Common mistakes before starting a website
If you want your website to be a big hit then you need to avoid some common mistakes before starting one. Here you have a list of pitfalls that are designed for beginner and for many established ones too. Check out the common mistakes that have to be avoided for sure!
- A History of Vintage Automobiles - From 1916 to 1924
Before cars were around, people usually traveled distances using horse-drawn carriages. But as early as 1335 several bright minds have been trying to come up with a 'horseless carriage'.
- How to Create a MySpace Layout
Creating a MySpace layout might seem tricky when you think about it but it is actually pretty easy. Here's a few steps that will help you in designing myspace templates.
- Reiki and how it can help you Heal
Reiki is a valuable healing tool which involves the practitioner placing his or her hands on the client without actually manipulating the body in any way. This makes Reiki an ideal healing tool for people who suffer from all kinds of conditions, both physical and emotional. This article discusses what is involved in a Reiki session and what training a Reiki practitioner undergoes.
- Creating myspace layouts without any coding experience
When we want to create or edit layout of our MySpace profiles, we must add or manipulate a piece of HTML and CSS code. The problem is just that not everyone know how to code and is not interested in that part either.
