Going through a divorce requires a full series of things to do. One thing that may get forgotten in the face of all that is insurance and other essential long-term financial elements. Take a look at the list below and make sure that you factor all of these elements in while you're on the case of putting all of your formal tasks in order.
- Put some money away for emergencies: While you're going through the divorce proceedings, it's a good idea to put some emergency money away for your dependents as well as yourself to use.
- Make sure you amend your insurance policies in terms of beneficiaries: This is a big one. Talk to a financial adviser on how you are planning to change your current insurance policies now that you are divorcing. Be sure to check with legal counsel on what you are able to do as well. Make sure you have your own personal insurance policies in place and take your ex-spouse off of the beneficiaries list if you feel the need to do so. Make the changes that you see as being the best.
- Set up the proper child support paperwork: When it comes to kids, make sure that they are getting all of support possible from the spouse that you are divorcing, as this is often overlooked and it is important. A financial planner may be able to help with what you may need to set aside for proper care while an attorney will be able to help you make sure that the proper paperwork is in place to guarantee this positive result.
- Avoid spending in joint accounts: Most spouses will share accounts with each other. You are going to want to consider freezing those joint accounts so that your spouse doesn't spend all of the money while the assets are measured out. The same goes for you, too, you are going to want to make sure that you don't make any big purchases, especially using the joint account. It could be misunderstood. You may want to consider setting up yourself a private account.
- Understand what you're financially entitled to: As a spouse you are financially entitled to certain things depending on how long you've been married, and other things if you have dependents, etc. If you're hoping to understand what all of this means, a divorce attorney paired with the right financial planner well be sure you have the right information, not to mention the right support to make sure that you actually do get all of the things that you are entitled to. This is your right, so get the professional support to put that all in order for your own sake as well as that of your children.
Divorce is painful and frustrating for so many reasons, so make sure that you hire the right consultant to help you access all that you can in terms of feasibility during a divorce. This takes the weight off your shoulders and will make you breathe a little easier because of it. Contact GPS Wealth Management to help with your financial divorce needs. Cyndi Barnett is a Certified Divorce Financial Analyst® (CDFA). As a CDFA professional, she has specialized skills and experience that enables her to analyze the long term impact of divorce.