7 Financial Tips for Divorcing Couples

Gather evidence of the financial state of both you and your partner. This can include bank account statements, credit card applications, loan payments, and projections of future income. Starting this process early can increase the chances of a fair distribution of assets.

Track and appraise all of your assets. Any and all marital assets may qualify for division and distribution under New York family law. Therefore, knowing the current value of you and your spouse's properties—including real estate, automotive vehicles, stocks, and other assets—can play a key role in your divorce.

Divorce must also plan for a spouse’s long-term stability. Inflation plays an important and impactful part in this. An excellent divorce settlement will see that the interests of your family are protected well into the future.

Emotions can run high during a divorce. For many, it can be tempting to want to hold on to items or to keep them from your spouse. While there is no value for an emotional connection, you must avoid making decisions and choices that are not in your best interest. One common example of an emotional response is fighting to keep a family home that one cannot afford.

Not all divorces require litigation and heated courtroom battles. Mediation and arbitration take place outside of the courtroom and can often help save money. These processes are generally faster than divorce litigation and often require fewer legal representatives and resources. However, both spouses must be able to cooperate in order for a non-litigated divorce to be successful.

Neglecting to change or remove the name of an ex-spouse on wills, powers of attorney, inheritance or insurance policies can cause problems in the future. Be sure to update each document within your estate plan.

Your divorce attorney is a key partner in planning for your financial stability after divorce. He or she can recommend specialists such as forensic accountants where it may be necessary and handle all of the confusing paperwork. The tax implications of a divorce alone can be overwhelming, so make sure you secure the right legal advocate to guide you through the process toward the best possible outcome.