When planning for a divorce, there are many different considerations you must make in order to prepare yourself financially. Unfortunately, many are so eager to get it done and over with that they make costly financial mistakes that can impact them for years to come. If you’re worried about financial security during your divorce, you’ll want to keep reading to learn more about some of the common money mistakes people make when ending their union. You’ll also learn how Los Angeles high net worth divorce attorneys can help you through the process.
How Can You Avoid the Most Common Financial Mistakes?
One of the most crucial things you can do to protect your finances during a divorce is to understand the liquidity of assets. This is the ease with which assets can be turned into money without impacting the market value. For example, a bank account can easily be turned into cash, while a car cannot because it must be appraised and sold before you receive money.
Another mistake many make when going through a highly contested divorce is getting too emotional, which can cloud your judgment. For example, you may have a sentimental attachment to the family home and fight to win it during the divorce. However, if your spouse walks away with liquid assets you could have obtained, you may not be able to make payments on the home. You should also avoid letting anger get the best of you. If you feel wronged by your spouse, avoid running up their credit card charge, as you can inherit a portion of this debt yourself.
Finally, you’ll want to ensure you take the time to comb through all financial matters related to your divorce. Unfortunately, many want to end the process as quickly as possible, which can lead to missing critical assets. Whether your spouse primarily handled the finances or has hidden assets, not knowing the extent of your assets can impact your financial security after a divorce. Instead, take the time to gather all the necessary information.
When Should You Contact an Attorney?
It’s no secret divorce can be overwhelming due to the numerous issues that can arise, from finances to the division of property, it is challenging to focus all of your attention on every aspect. However, enlisting the help of a competent attorney with experience in high net-worth divorces can help you navigate any issues that arise during the divorce process.
At the Zitser Family Law Group, we understand how stressful a divorce can be. Our firm has the experience necessary to help make the divorce process as simple as possible while working diligently to protect your finances. Reach out today to discuss the details of your case with one of our seasoned attorneys.