What are some financial mistakes to avoid?
Before your divorce is finalized, it’s important to start thinking about life after your divorce. Many people fail to plan ahead and find themselves struggling to pay off their debts and bills now that they’re living in a one-income (or even no-income) household. Figure out how much your lifestyle will cost after you’re divorced and whether you have the means to afford it. Having this knowledge before the process begins can help you negotiate for a fair settlement during the divorce.
What are some settlement mistakes to avoid?
Another common mistake is trying to split assets 50/50. While each person taking half might seem fair enough, some assets are more heavily taxed than others. Additionally, some assets can create more income after the divorce. For example, if you take the savings accounts and your former spouse takes the investments, your ex might end up with more assets if his or her investments do well in the stock market.
You should also try to avoid getting emotionally attached to your assets. While you might not want to walk away from your house or vehicle, keeping certain properties isn’t always in your best interest. It’s time to look to the future and to make wise financial decisions today that will benefit you tomorrow.
Can an attorney keep you from making mistakes?
An attorney might be able to steer you away from common mistakes that many divorcees don’t even realize they’re making. They could also help you make smart financial decisions that are based on logic instead of emotion.