The process of divorce is often difficult and overwhelming for many spouses and their loved ones. This can be emotionally as well as financially. It is an unfortunate reality that divorce proceedings can become very expensive for an individual. In addition to this, their assets may be subject to equitable distribution, which can result in a loss of certain finances. This can be a scary time in a person’s life, which is why it is crucial to be prepared for it. In doing so, it can be beneficial to retain the services of an experienced New Jersey divorce attorney to assist in financial planning before the proceedings begin.
Why Should I Make a Financial Plan?
Going through a divorce can cause some uncertainty in a person’s life. When it comes to finances, it is important to make sure that you are financially stable after a divorce so that you can support yourself. By making a financial plan, you are able to get a better look at the money you need to maintain a lifestyle in order to make changes to your income or spending habits.
What Assets Should I Consider?
Part of going through a divorce is the division of assets. In order to have a financial plan for yourself, you must first understand the assets that you have. During this time, it can be beneficial to consider the following assets:
- Income: During a divorce, your partner may be entitled to a certain portion of your income through spousal support or child support agreements.
- Retirement assets: Usually, retirement money is not off-limits during a divorce. If you wish to receive some of your spouse’s retirement payments, you may have to file a qualified domestic relations order to recover them.
- Owned Property: In most cases, spouses share their real estate. This can not only include the family home, but others such as vacation properties.
- Jointly-Owned Businesses: When spouses run a business together, it is important to protect it from being subject to division in a divorce. This can be done by drafting a shareholder agreement with your spouse.
- Debts and Mortgages: Certain mortgages and individual debts can influence a judge’s decision during equitable distribution. This can include credit cards, loans, business expenses, and more.
Contact our Firm
If you need an experienced legal team to guide you through your divorce, contact Townsend, Tomaio & Newmark L.L.C today.
