Over the last two tears, many couples have been through significant changes with jobs, finances and many other areas of their lives. For some couples, this time has led to the decision to file for divorce, a process that can bring even more changes to their lives. It is helpful to know how to effectively navigate the challenges of a post-pandemic divorce and lay the foundation for a strong financial future.
Financial preparation for a divorce
Money is one of the most important and often most contested issues in a divorce. A California spouse has the right to seek an appropriate financial settlement. The first step of this process is for one to understand his or her finances. The divorce process requires the identification, valuation and distribution of assets, and this means having an understanding of what counts as community property and what counts as separate assets.
When going through a divorce, it is also important to consider the potential tax consequences of any decisions made. Retaining certain assets may leave one exposed to high taxes he or she may not be expecting. Decisions should be based on long-term financial capabilities and one’s post-divorce budget.
A strong post-divorce future
A post-pandemic divorce is complicated, and it may involve various complex financial matters one must resolve. A California spouse may benefit from working with an experienced attorney as he or she seeks a comprehensive property division settlement. Before agreeing to terms or making any important decisions, it may help to discuss how choices could affect one’s future stability and financial well-being.