In this tricky and sensitive time in your lives, it is easy to make simple mistakes and overlook important details. One should rely on their lawyer to guide them through the divorce process, however, it is important to be aware of certain things to avoid during the divorce settlement process.
1. Never agree to a termination date for spousal support or alimony if the law does not require it.
2. Never use the same attorney that your spouse is using.
3. If your spouse assumes any debt that is jointly held, make sure your name is removed from the accounts.
4. Don’t fight for assets you can’t afford to maintain.
5. If you have children who will one day go to college, make sure those expenses are negotiated now.
6. Never sign your final divorce decree without fully reading and comprehending every word.
Throughout the divorce process you should remember to educate yourself not only about the procedures, but about your personal finances. It is important to prioritize and keep your expenses in mind at all times.
To learn more, read the full article at First Wives World.
Since we’re talking about finances, here are five of the most important financial mistakes to avoid when it comes to negotiating your divorce settlement:
1. Becoming a Financial Victim
By not educating yourself about finances, you’re allowing your spouse to have an unfair advantage when it comes time to settle the finances in the divorce.
2. Not Considering Mediation
Choosing mediation in your divorce case can save you thousands of dollars in legal fees and save you from emotional aggravation.
3. Failure to Evaluate Settlement Proposals
Make sure to take into account how the settlement will impact your finances in the years ahead. There are many factors to consider, including assets, incomes, living expenses, inflation, alimony, child support, taxes, retirement plans, investments, medical expenses and health insurance costs, and child-related expenses such as education.
4. Being Emotionally Attached to Assets in Divorce Negotiations
Let go of any emotional attachments you may have. This allows you to focus your full attention on how to maximize your finances by making sure you’ll have enough cash for living expenses after your divorce and in retirement, which is the most important aspect of the process.
5. Failure to Develop a Post-Divorce Financial Plan
Since two households cost more to operate than one, it is important to realize that the divorce settlement must last a significant amount of time. Long-term financial planning can help people transition from a married to single lifestyle by prioritizing financial goals, developing realistic expectations, and producing sound plans for the assignment and division of financial resources.
Read the full list of “15 Critical Mistakes in Divorce” at Divorce Net.