Being uninformed during divorce can be a critical mistake. While many know this is true when it comes to the legal process, it is also applicable to financial issues surrounding your Florida divorce. The last thing you want to do is pair the emotional cost of divorce with unnecessary monetary costs. Read on to learn some key financial mistakes you should avoid:
- Not understanding how money may be hidden when one spouse owns a business. Financial advisor Sharon Count recommends working with a forensic accountant and business valuation expert.
- Not planning for unexpected children expenses like cell phones, dental expenditures, high school books and fees, teen driver car insurance, etc. It is important to define who pays for everything.
- Assuming the parent with more custodial time should keep the family home. While there may be a significant emotional attachment to your home, it is critical to decide if keeping it is the best financial decision. Will you be able to afford it considering your post-divorce situation? Schedule a Personalized Florida Divorce Assessment with an Attorney Now!
- Not considering mediation. With moderate assets, a workable joint custody arrangement and agreement by both spouses to a fair settlement, mediation can save thousands in legal fees, not to mention emotional aggravation. (See our previous blog “What is Divorce Mediation?” HOTLINK)
- Not producing an accurate budget. It is not uncommon for a divorcing spouse to underestimate or omit expenses when creating their initial budget for temporary maintenance. To avoid getting in the situation where you can’t cover your bills, consider using a financial professional to help you create an accurate and complete budget.
- Assuming debts are paid. Understand the status of all debt obligations (mortgages, credit card debt, etc.) and be sure you will not be liable for payments on items you won’t own post divorce.
- Deciding financial issues one at a time. Look at a comprehensive financial picture in order to appreciate the interaction of taxes, capital gains, investment losses, timing issues, inflation and more.
- Failing to consider the long-term picture. While the immediate needs are the most pressing, you must consider how things might look in 10 or 20 years. Otherwise, you could be facing some unattractive long-term financial consequences.
Financial issues are yet another area that adds to the complexity of divorce. Be sure to enlist the assistance of experienced professionals to help you achieve a desired divorce outcome.
Board Certified Marital and Family Law Attorney Charles D. Jamieson understands that divorce is an extremely sensitive and important issue. Thanks to extensive experience and a focus on open communication, Attorney Jamieson adeptly addresses the complex issues surrounding divorce while delivering excellent personal service. To discuss divorce in Florida, please contact The Law Firm of Charles D. Jamieson, P.A.The Law Firm of Charles D. Jamieson, P.A. or call 561-478-0312.
Sources:
Chicago Now
Divorce Interactive
CNBC
Divorce Net
