Property division during divorce can affect finances long term

Posted in Property Division on June 28, 2018

Getting divorced can be emotionally challenging in addition to requiring a person to make financial adjustments. Understandably, those dealing with divorce issues such as property division may feel anxious about whether they can maintain their pre-divorce lifestyles and achieve their financial goals long term. Here are a couple of tips for protecting oneself financially during divorce in California.

First, producing a budget worksheet may be helpful for outlining a divorced individual’s new anticipated monthly expenses, including those related to transportation, utilities, food, insurance and housing. In addition, not overlooking debt is critical during divorce, as creditors can legally go after a divorced person for the debt on any joint accounts created while he or she was still married. Obtaining credit scores and reports from the main credit bureaus can help with uncovering any liabilities that a divorced party may not have known about.

The moments during and following divorce are also perfect for an individual to examine his or her entire financial picture. For instance, the person can reevaluate his or her cash flow, insurance needs, retirement savings and education funding. A financial advisor can help with defining new goals in light of the individual’s current situation.

Divorce can quickly become overwhelming and complicate an individual’s financial status in California. However, if two divorcing spouses can see eye to eye on how to address matters such as alimony and property division, this may help to make a marital breakup easier to navigate financially. An attorney can provide a spouse with the guidance needed to pursue the most personally favorable outcome given the circumstances of the marital dissolution.