What Are Financial Mistakes I Can Avoid in a Divorce?

Your top priority in your divorce proceedings may be to get a custody arrangement that allows you to be with your children primarily or otherwise for an equal amount of time; that is, of course, if you and your soon-to-be former spouse share minor children. Arguably second to this, though, is receiving a financial arrangement that keeps you in a secure position (i.e., alimony, child support, and property division orders). After all, this may be the first time you are financially independent in considerable years, or ever. For this, please follow along to find out the financial mistakes you should avoid in a divorce and how one of the proficient Somerset divorce lawyers at the Law Offices of Kisha M. Hebbon, LLC can protect your finances during this very critical time.

What are common financial mistakes I can avoid in a divorce?

Understandably, your divorce proceedings may not be enjoyable and you likely prefer to get through this emotionally draining process as swiftly as possible. However, you must not rush them too much and accidentally settle for or receive a financial judgment on an unfair arrangement, particularly when it has to do with your finances. Without further ado, below is a list of common financial mistakes you must avoid at all costs:

• You must not forget to factor in certain expenses when calculating your cost of living post-divorce:
  • Your monthly mortgage or rent and utility bills.
  • Food and clothing for you and your children.
  • Transportation and healthcare for you and your children.
  • Education, extracurricular activities, and childcare services for your children.
• You must not forget to consider the long-term tax implications for the marital assets you wish to keep.
• You must not forget to update your beneficiary designations on your life insurance policy, retirement account, and estate plan.
• You must not forget that a Qualified Domestic Relations Order is needed to divide your retirement accounts without incurring penalties.

What can I do to protect myself financially during a divorce?

We often work with clients who do not necessarily trust their soon-to-be former spouse. Or, they may notice their greedy, money-hungry behaviors and actions throughout the divorce proceedings. Under these circumstances, we advise these clients to allow us to hire a forensic accountant on their behalf. We undoubtedly recommend this for our high-net-worth clients.

This is because your spouse may be hiding assets so they may not undergo the equitable distribution process. What’s more, they may be attempting to reduce the amount of alimony and child support they will be ordered to pay you. So, a forensic accountant may unearth whether they have recently transferred assets to other family members; whether they have open banking accounts they have failed to disclose; whether they are underreporting their earned income; and more.

If you need legal representation urgently, please do not miss another opportunity to schedule an initial consultation with one of the talented Somerset County family lawyers from the Law Offices of Kisha M. Hebbon, LLC. Contact our firm today.