If you’re thinking about filing for divorce or your partner has served you with divorce papers, you might be going through an emotional rollercoaster.
Anger, regret, hurt, numbness, panic about the future, and other negative feelings are normal during this time, but they don’t mean that divorce is the wrong decision. In most cases, these feelings tend to fade after you settle into the next chapter of your life.
That said, the divorce process may be new ground for you as it is for most people who have been in your position. Naturally, you may not know what is a right or wrong move, especially when it comes to financial matters.
Without proper legal advice, you might make financial mistakes that won’t easily go away.
To avoid falling into financial traps that may end up costing you, here are the seven most common mistakes people make when going through a divorce in Canton, GA:
Holding on to Your Family Home
For starters, getting your family home as part of the divorce settlement isn’t always a good idea. You might view it as the best decision, because it allows you to hold onto the home’s sentimental value, especially if you get child custody.
While this is a valid reason, it might not be the best financial move, more so if you had to give up a lot of the other things you share with your spouse during the divorce settlement to keep it.
Put the love and attachment you may have to the home aside, and think critically about whether you can keep up with the expenses of maintaining the house on your own before signing those papers. Your team at Hobson & Hobson will help you make a sound financial decision in regard to your home.
In the end, keeping up with mortgage, taxes, bills, and so on might be more than you can cope with. Depending on your financial situation, it may be better to sell the house during the divorce and look for something more manageable.
Believing That Dividing Assets in the Middle is Fair
Asset division during divorce is more complex than saying, ‘he/she gets this, and I get that because both things are worth $100,000.’ Debt, income, and other things might come into play during the division of assets, so it’s extremely important to consult with your divorce attorney. n equal division based on the current value of assets isn’t always considered fair as the prospects of one asset may not be similar to another. Insist on a thorough valuation and, if possible, involve a qualified financial advisor to weigh in on the matter.
Failing to Take into Account Your Ex-Spouse’s Employment Benefits and Investments
Your now ex-partner might not be fully forthcoming about investments and work benefits they may have. So, it’s your lawyer’s job to check for these things and figure out what you are entitled to so that you don’t end up with the short end of the stick.
You want to have the full scope of your marital property, including your ex’s benefits. Things like 401(k)s and company stocks are often considered when splitting marital assets in a divorce. Of course, you should get legal advice for this scenario.
Underestimating Your Monthly Spending
It’s very common for people to underestimate their monthly spending after a divorce, as they’ve never really lived alone in so long. So, it’s important that you properly budget for your cost of living after the divorce.
A good budget accounts for your current standard of living while also considering future factors like inflation and additional costs. The budget will also help build a safety net and comes in handy when deciding what if any to ask for as spousal support.
Without one, you risk grossly understating your expenses and struggling financially post-divorce.
Not Taking into Account the Implications of Shared Debts
Most people in America have debt and, if you’re married, you probably have joint credit with your spouse. That means you both hold the liability of paying debts taken during the marital relationship, whether you’re together now or not.
It shouldn’t matter if your now ex-spouse has promised to pay it off. The lender may still come for you if your spouse fails to make repayments, and that will affect your credit score.
So, talk about managing shared debt during divorce negotiations. If possible, insist on settling such debts before legally parting ways. Your Hobson & Hobson divorce attorney will negotiate the best possible outcome to ensure you are set up for financial stability.
Failing to Secure a Good Divorce Lawyer
The last and perhaps biggest mistake of all is not hiring a credible attorney. Having an experienced divorce lawyer by your side can help you avoid most financial mistakes listed in this article. More so if you’re going through a contested divorce.
Make sure you find a good divorce attorney with the following traits:
- Experience dealing with a contested and uncontested divorce.
- A proven record of being ethical and professional during divorce proceedings.
- Ample knowledge of the local divorce laws and the court system, i.e., Canton, GA.
- Adequately equipped with resources to handle your case, including paralegals, legal staff, and connections with reliable financial advisors, forensic accountants, etc.
Need Trusted Legal Counsel to Walk with You Through the Divorce Process? Get in Touch with Hobson and Hobson, P.C in Canton, GA
At Hobson and Hobson, P.C, we are committed to helping our Canton, GA clients, through every step of their divorce proceedings. Our highly experienced divorce attorneys understand how challenging going through a divorce is and are here to make the process that much easier on you.
Our job is to negotiate for your best interests while keeping the situation as conflict-free as possible. We are ready to go with you all the way to trial, if it comes to that, to make sure you g what you are entitled to when it comes to asset division, alimony, child custody, parenting plans, and child support.
Get in touch with Hobson and Hobson law firm at (770) 284-6153, so we can discuss how best we can be of service to you during this tumultuous period.
Attorney Sarah Hobson at Hobson and Hobson, P.C. are powerful advocates for those who fight for better futures for those going through divorce and custody law matters.