Finances are often one of the stickiest matters to resolve during divorce proceedings. Outside of the financial assets in the form of cash and other investments, the task of property division can be long, tedious and contentious — even, sometimes, over seemingly petty items.
It’s easy for divorcing individuals to get off track in these proceedings because of the emotional strain that is sometimes placed upon them. During the divorce process, though, it is essential that Georgia residents and other divorcing couples nationwide keep their cool and put a focus on their financial well-being as a way to avoid costly mistakes.
Maybe the most important mistake is caving in easily and more or less giving away assets to your soon-to-be ex. You don’t want to drain your shared cash through legal fees just to score a few extra items, but you should work in your own interests to try and achieve attractive divorce terms. A proven divorce attorney can be a strong resource for you in this regard.
And while assets get the bulk of attention during divorce proceedings, debts must also be weighed to make sure everyone gets a fair shake. Debts should also be divvied up, and whether you want to or not, you’ll still be obligated to pay them in the future.
Consequently, and because your financial assets and income are likely to decline — at least short term — after a divorce, you will need to set up a rigid budget that likely lowers your standard of living. This may only be a temporary move for some, but it’s an essential step to preserving your financial future.
Finally, don’t let guilt and other circumstances drive you to overspending on your children. It’s not an effective means to an end, and it could get you into hot water fast, as far as your finances are concerned.
Source: Huffington Post, “The five worst divorce money mistakes … and how to prevent them,” Suzanna de Baca, July 13, 2012