If you’re considering or just beginning the divorce process, you might be worried about the financial aspects. There are many factors you should consider about your post-divorce finances, so figuring out the financial proceedings can be quite complicated. Inevitably, many people worry about the most common financial mistakes during the divorce process. No need to panic because our firm is here to help! Read this blog or reach out to a Division of Assets and Debts Lawyer in Mansfield, MA to learn more.
WHAT ARE THE MOST COMMON DIVORCE FINANCIAL MISTAKES?
Overall, the biggest divorce financial mistake that spouses make is failing to keep track of their expenses to create a viable financial plan. The best way to ensure success with your finances in the future is to view all of your assets, income, debts, expenses, etc. as a whole to get a clear picture of your financial status. It’s also helpful to set a monthly budget to promote responsible spending.
Some spouses make the mistake of deciding on financial considerations based on just emotion and just logic. For example, some divorcing spouses might want to keep the family home because of its sentiment. However, this might not be the best financial decision for every spouse. You’ll need to track your assets and expenses to determine whether you can afford the mortgage or rent payments.
WHAT ELSE SHOULD I CONSIDER?
Many divorcing spouses are unaware of some legal documents that could be helpful for their financial decisions, which is why it’s always a good idea to hire a divorce attorney who can guide you through the divorce process. For example, have you heard of a Qualified Domestic Relations Order (QDRO)? If you need to receive payments from your spouse’s qualifying retirement plan, you’ll need a QDRO set in place to still receive the payments post-divorce.
Another aspect that many divorcing spouses fail to consider is insurance if their ex-spouse pays them alimony or child support. When you rely on your ex-spouse for these payments, you should ensure that they have life and disability insurance in case anything ever happens to them. You should do this to make sure you can still receive the payments you’re entitled to even in a worst-case scenario.
Are you considering divorce or just beginning the divorce process? Are you seeking a highly experienced divorce lawyer who has your best interests in mind? Look no further because the Law Offices of Cynthia L. Hanley is here to fight for you! Contact our effective team today for individualized legal counseling.