Just as the decision to marry may be based on emotions and other subjective qualities, the dissolution of one is often just as emotional. However, in order to best protect one’s financial future, it may be prudent to view a divorce with an eye to protecting one’s financial health. Colorado residents often have significant assets that could be lost if decisions are made based on feelings.
There are several key points that may ensure that one is able to secure a healthier financial future after a divorce filing. Unfortunately, when word gets out that a divorce is in the future, one is often undulated with advice from friends and co-workers; but it may be helpful to remember that each situation is unique, and no two outcomes will be the same. There are tasks that one can complete either before or during the process. These may include closing existing joint bank accounts, and updating tax information and other accounts that may reflect both names. If possible, it may be prudent to open both a bank account and credit accounts in one’s own name in order to start rebuilding one’s financial well-being.
Other steps one can take include updating life insurance and retirement accounts. Some of these tasks may require the court’s approval, so it may be beneficial to double check with professional advisers.Those who are getting a divorce later in life may not have concerns about child support or custody, but they do have to consider retirement and how to prepare adequately since there will be a change in previous plans and likely income. In a marriage, traditionally, one spouse was involved in handling most aspects of the household finances. If this is the case, seeking information from financial professionals may be a valuable investment.
The ending of a marriage and protecting one’s financial health are not incompatible, and it is possible to emerge in a positive position. Having a realistic budget may ensure that one is able to thrive financially after the divorce is completed. While a divorce can be a tumultuous and confusing time, Colorado residents who desire the optimal outcome for themselves and their family may seek the assistance of a seasoned family law attorney.
Source: mint.com, “How to Prepare Financially for Divorce: Expert Tips”, Accessed on Nov. 2, 2017