Divorces of the famous and/or wealthy are often splashed across headlines. The assets in those types of divorce cases are significant, and many of those couples make it through the process and still feel financially stable for the future. Unfortunately, this type of financial situation doesn’t apply to all divorcing spouses in New York.
The simple truth is divorce can be expensive. While there are ways to reduce costs, including using a mediator and avoiding litigation where possible, the amount each spouse is left with after a divorce isn’t always enough to live on. Those is in this type of situation may wonder if there is any way to get through a divorce without totally damaging personal finances.
Luckily, there are a few things that can be done to help avoid any financial fallout that may occur due to divorce. The first would actually take place before the marriage and that is creating a trust or prenuptial agreement for any individual assets that need protecting. Other things that can be accomplished before a divorce is finalized include seeking employment opportunities, opening individual banking and credit card accounts before a big change in financial status and being open and wiling to negotiate divorce terms. Updating estate plans/wills and requesting big-ticket items to be included in child support payments are also important considerations.
Starting over financially after divorce isn’t easy for most people. Every marriage doesn’t have significant financial assets to lean on during this tough transition. However, divorcing spouses in New York can take steps to protect themselves while working on reaching terms that leave each party prepared for post divorce life. If needed, help is available to assist those working through divorce to achieve the best settlement possible which can aid in avoiding damage to personal finances in the process.
Source: tennessean.com, “7 ways to mitigate the financial fallout from divorce”, Phoebe Venable, Nov. 7, 2014