Critical Steps to (Financially) Prepare for Divorce
The process of getting divorced can be emotional enough on its own without also having to go through additional stress related to the financial aspects of the process. However, there are some steps that accounting experts suggest doing early on in order to protect yourself and ease your mind when it comes to managing your finances before and after:
Financial Records
The absolute first thing that should be done is to collect all of your financial records in one place, including, but not limited to, payroll stubs, benefits info, bank and asset-related statements, investment paperwork, and related documents. Make copies of all of this information and place these copies in different locations–outside of the house–possibly with a trusted friend or family member.
Asset Tracking
Keeping a meticulous inventory of your assets, which includes what you owned prior to the marriage, as well as restricted gifts, inheritances, and (separately) marital property (acquired during the marriage) can also be a helpful list to keep. Also, take photographs of any particular valuables such as jewelry and antiques so that those types of belongings have been securely documented.
Credit Reports
It is important to stay up-to-date on your credit activity even if you are not married or planning on getting divorced; however, being aware of your financial situation and any sudden changes—including potentially fraudulent activity—is especially crucial once you’ve started the divorce process. By doing so, you and your attorney will be able to clear up anything that looks questionable ahead of time, avoiding unfortunate surprises. So make sure that you order credit reports, and check in on them regularly.
Bank Accounts
Many people do not realize that once divorce is definitely moving forward for a couple, they should open up their own individual accounts, preferably in a bank that is separate from any used for the couple’s accounts. This should include not only a checking account, but also savings and credit card accounts, and in the individual’s name only.
Build Up Your Savings
It is important that you start saving money and building up the finances available in your own individual accounts in order to prepare for being on your own as soon as possible in the divorce process.
Financial Analysts
Some experienced family law attorneys will work with financial analysts so that your financial portfolio through the divorce is as complete and protected as possible. This is because complex financial issues tend to arise during divorce, and this can, of course, have financial implications for your future.
Talk to Us about Financial Planning & Divorce
Getting all of your finances together and always being one step ahead can help ensure that you are better protected from hardships later on when it comes to divorce. To learn more about how you can protect yourself financially, contact the office of Sandra Bonfiglio. We provide compassionate legal representation and sound advice on asset protection to clients in Fort Lauderdale, Boca Raton, Broward County, and surrounding areas.
