Ten financial mistakes not to make in your divorce planning
Commonly held assumptions about divorce can work directly against your financial needs and lead to financial mistakes.
Believing that a 50 - 50 division of property is the same thing as a fair division of property.
Keeping the house when you can't afford to.
Deciding financial issues one at a time instead of understanding how they affect each other.
Failing to guarantee spousal and child support payments with life insurance on the person who is supposed to pay.
Failing to make the spouse who receives spousal or child support payments the owner of the life insurance.
Believing that your settlement must conform to what a judge would order if your case went to court.
Seeking financial advice from someone whose expertise is the law.
Failing to include the present value of a pension among marital assets.
Using unrealistic assumptions about inflation and investment returns.
Failing to ask, "How do I know that I will be financially secure after my divorce?" before signing the divorce papers.
This article is made available to you from Women in Divorce Financial.
Eva Sachs is the founder of Women in Divorce Financial. She is a Certified Divorce Financial Analyst (CDFA™), has her CFP™ designation and is a member of the Institute for Divorce Financial Analysts.
She can be reached at esachs@womenindivorcefinancial.ca or by visiting www.womenindivorcefinancial.ca.