It’s easy for soon-to-be ex-spouses in New Jersey to forget to take care of themselves financially due to the emotion that surrounds divorce. Staying mindful of a few things will keep divorcees from making mistakes that will hurt their financial futures.
The first thing to keep in mind when getting a divorce is to have realistic expectations. The immediate effect of a divorce is that the income that once took care of one household will now become stretched over two homes. Both parties will now likely need to adjust to life with less discretionary income.
The second key to a successful divorce negotiation is communication. Understandably, both parties to a divorce may bring some anger to the table. However, this anger should not be allowed to interfere with the ability of the ex-spouses to communicate. Divorces in which ex-spouses can only communicate through their attorneys will cost more money in the end.
Another mistake that will increase the bottom line and result in less for the spouses to divide between each other is setting the stage for combative divorce proceedings. Using the proceedings as a platform to engage in a back and forth with an ex-spouse could result in payments to an attorney for years after the divorce becomes final.
Spouses going through divorce proceedings should also make sure they understand what the term equitable distribution means to the court. A common misconception is that this term means a 50/50 division of marital assets in a divorce. Instead, the court considers the position of both parties before and after the marriage to determine a fair, but not necessarily equal, distribution of marital property.
Other common mistakes that cost divorcees money is not considering the tax implications of marital property division and failing to properly deal with joint financial accounts.
A divorce is never fun for anyone involved. However, putting personal feelings aside and working toward an amicable solution with an ex-spouse is necessary to facilitate a smoother transition. A family law attorney could help a client secure a favorable outcome and move on to post-divorce life.