Many people who think about divorce only consider the potential emotional scars it may leave. They may be consumed with how unfair the process might be to them, or how their children may be affected, or whether in-laws will forever hold grudges or judge them for such a decision.
Indeed, these are genuine concerns. However, it is important not to lose sight of the financial implications that can affect divorcing parties. While it may be difficult to believe while in the moment, a divorce is ultimately a business transaction.
Consider this; a number of contractual obligations must be resolved before a divorce may be finalized. As such, it is prudent to approach a divorce just like any other business deal. With that, this post will identify some important aspects of pre-divorce planning.
Know your assets – Before a merger or acquisition, a business will understand its financial status. It will know how much it has in operating accounts, how much it owes to creditors and what accounts are outstanding. Preparing for your divorce should be no different.
Create a forecast – Successful businesses do a good job of projecting how much money they will need to reach particular financial goals. As you prepare for your post-divorce life, setting a realistic budget is key. This will help set expectations and create a reasonable negotiating stance.
Find an attorney – You will be working very closely with your lawyer through tough emotional issues and complicated financial questions. So it is essential to find a lawyer that fits your personality, and who you trust.
If you have additional questions about the process of divorce, an experienced family law attorney can help.