Going through a divorce can be overwhelming. However, creating a “to-do” list can offer a sense of control. It can reduce stress, add structure, and provide proof of your progress- all crucial components to navigating a divorce effectively.
If you are unsure where to start, this “to-do list,” based on our experience working with clients throughout the divorce process, can give you some guidance.
Get Organized
It is essential to gather all your financial information so that you have a clear picture of what you own.
Know What Your Assets are Worth
Knowing the value of your accounts is as simple as reading the most recent statement. However, many items (Home, Jewelry, Collectibles, Other Properties) may take additional work to determine a current value.
Review Insurance Policies and Beneficiary Designations
These areas are often neglected during the divorce process. It is essential to have a firm understanding of all existing insurance policies (health insurance included) and current beneficiary designations.
Assemble an Advisory Board
It is crucial to gather a strong group of professionals to work on your behalf and serve as your personal “advisory board.” An ideal team should include a Financial Advisor, Attorney, Banker, CPA, and Therapist.
Understand Taxes
Regardless of whether you are the payor or recipient of a settlement/ongoing spousal support, it is vital that you are fully aware of the tax ramifications of your new status.
Embrace the Change
Your lifestyle will inevitably change after a divorce. If possible, prepare a post-divorce income and expense report. These items can be assembled during the financial planning process with the help of your Financial Advisor, and they will help guide you in negotiating an agreement.
Make a List and Stick to It
Put together your list of priorities and non-negotiable items. It can be obvious items like the condo at the beach, or it can be more subtle items like frequent flyer miles. Most importantly, once you have compiled your list, maintain your conviction throughout the settlement process. It can be easy to become exasperated and “move on” but negotiating calmly and objectively will help you reach a fair resolution.
Maintain Your Sanity
Moving forward, seek out the appropriate support, whether that be friends, family, or professional help. Adequate financial settlement terms are the first step in navigating a divorce, but they are only part of the process. Try to keep communication lines open with your ex-spouse.
Every divorce is different, but our “to-do list” is a useful starting point to ensure that you are adequately prepared. By preparing a simple list of action items, you can establish a game plan moving forward and create peace of mind during a difficult time.
- Josh VanFleteren, Financial Advisor
IMPORTANT DISCLOSURES
Investment advice offered through Strauss Financial Group, Inc., a Registered Investment Advisor. These materials are provided for general information purposes based upon publicly available information from sources believed to be reliable—we cannot assure the accuracy or completeness of these materials, and no warranty or guarantee is made. The information in these materials may change at any time and without notice. Neither the information nor any opinion expressed herein constitutes a solicitation for the purchase or sale of any securities and should not be relied on as financial advice. Past performance is no guarantee of future results. All investing involves risk, including the potential loss of principal, and there can be no guarantee that any investing strategy will be successful. Prices, quotes, rates, and yields are subject to change without notice. Not FDIC Insured, Not Bank Guaranteed, and May Lose Value.Going through a divorce can be overwhelming. However, creating a “to-do” list can offer a sense of control. It can reduce stress, add structure, and provide proof of your progress- all crucial components to navigating a divorce effectively.
If you are unsure where to start, this “to-do list,” based on our experience working with clients throughout the divorce process, can give you some guidance.
Get Organized
It is essential to gather all your financial information so that you have a clear picture of what you own.
Know What Your Assets are Worth
Knowing the value of your accounts is as simple as reading the most recent statement. However, many items (Home, Jewelry, Collectibles, Other Properties) may take additional work to determine a current value.
Review Insurance Policies and Beneficiary Designations
These areas are often neglected during the divorce process. It is essential to have a firm understanding of all existing insurance policies (health insurance included) and current beneficiary designations.
Assemble an Advisory Board
It is crucial to gather a strong group of professionals to work on your behalf and serve as your personal “advisory board.” An ideal team should include a Financial Advisor, Attorney, Banker, CPA, and Therapist.
Understand Taxes
Regardless of whether you are the payor or recipient of a settlement/ongoing spousal support, it is vital that you are fully aware of the tax ramifications of your new status.
Embrace the Change
Your lifestyle will inevitably change after a divorce. If possible, prepare a post-divorce income and expense report. These items can be assembled during the financial planning process with the help of your Financial Advisor, and they will help guide you in negotiating an agreement.
Make a List and Stick to It
Put together your list of priorities and non-negotiable items. It can be obvious items like the condo at the beach, or it can be more subtle items like frequent flyer miles. Most importantly, once you have compiled your list, maintain your conviction throughout the settlement process. It can be easy to become exasperated and “move on” but negotiating calmly and objectively will help you reach a fair resolution.
Maintain Your Sanity
Moving forward, seek out the appropriate support, whether that be friends, family, or professional help. Adequate financial settlement terms are the first step in navigating a divorce, but they are only part of the process. Try to keep communication lines open with your ex-spouse.
Every divorce is different, but our “to-do list” is a useful starting point to ensure that you are adequately prepared. By preparing a simple list of action items, you can establish a game plan moving forward and create peace of mind during a difficult time.
- Josh VanFleteren, Financial Advisor