On behalf of Cooper & Tanis, P.C. posted in high asset divorce on Tuesday, June 20, 2017.
Planning for divorce can be a tricky and difficult process for many people in Colorado and elsewhere around the country. While the emotional and logistical issues can seem especially overwhelming, the financial aspects of divorce are among the most challenging. This is especially true in situations where significant high-value assets are at stake, including investments, businesses, homes and other properties.
One of the most useful things that a person can do to prepare, especially in high-asset divorce cases, is to get his or her finances in order. Someone who is planning to get a divorce should immediately start carefully tracking his or her household expenses and income. This information is crucial for determining the division of assets and debts and awarding potential child or spousal support.
Another key piece of advice for preparing for divorce is to gather relevant financial information. While rounding up a marriage’s financial documentation can be an arduous task, it can help to save both time and money later on down the line. Pertinent documents include income tax returns, pay stubs, credit card statements, investment and retirement accounts and regular bank account statements.
It’s important that both parties have access to these financial documents at the outset of the divorce proceedings. Even the most seemingly amicable situations can deteriorate, so it’s best that someone gathers the necessary paperwork before officially filing for divorce.
People who are about to get divorced should also steer clear of making new, big financial changes. These individuals should refrain from changing their wills, retirement accounts or other related documents immediately prior to the divorce since a judge could end up reversing these adjustments.
One of the best ways to responsibly plan financially for a divorce is to consult with a family law attorney. A lawyer can review his or her clients’ finances and documents and explore their available options. Legal professionals may also develop financially responsible plans to protect the interests of their clients and help them achieve fair settlements. Contrary to popular belief, involving a family law attorney early on in the divorce proceedings can be one of the best ways to ensure that both parties remain amicable. This is especially true in high-asset divorces, where a lawyer’s expertise can be particularly beneficial when managing complicated financial issues.