Hey, Divorce Attorneys: Get a Financial Pro in the Room!
By Duncan E. White, Owner
Inkpointe Divorce Solutions, LLC
Divorce is a hard enough process. Don’t make it harder by arguing over assets when no one in the room is a trained financial professional. It’s a waste of time for everyone involved! The financial aspects of divorce can be especially complicated and have a long-lasting impact on both parties’ financial futures. For this reason, it is critical that a divorce attorney consults with a Certified Divorce Financial Analyst (CDFA®) to ensure the client’s financial interests are protected throughout the divorce process.
Here are a few reasons why:
Trained financial professionals
A CDFA® is specially trained to provide financial guidance during divorce proceedings. They can help a divorce attorney navigate complex financial issues such as property division, spousal support, child support, tax implications, and retirement assets.
Identify and value assets
A CDFA® can help identify and value all assets, including those that may be hidden or difficult to value. This includes assets such as stock options, deferred compensation, and retirement accounts. They can also provide guidance on dividing assets fairly, taking into account tax implications and long-term financial goals.
Help avoid financial mistakes
Probably the most important help a CDFA® can offer to a divorce attorney is to help them avoid errors during the division of assets. During the divorce process, emotions can run high, and important financial decisions may be made impulsively. A CDFA® can help both parties avoid costly mistakes by providing independent financial advice.
Future financial planning
Divorce will most likely have a significant impact on both parties’ financial futures. A CDFA® can help develop a post-divorce financial plan that considers each party’s unique financial situation, including assets, liabilities, and income. They can also help to anticipate future financial needs and plan accordingly.
Divorce attorneys should always consult with a CDFA® to ensure their client’s financial interests are addressed. Their training can be invaluable during the negotiation process and while dividing assets. By working together, a divorce attorney and a CDFA® can seek to ensure the client’s future financial freedom.
Duncan E. White is a Certified Divorce Financial Analyst (CDFA®) and has been a licensed financial advisor since 2010. He leads a Second Saturday Divorce Workshop each month for the benefit of those seeking information about the divorce process.
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Content in this material is for general information only and not intended to provide specific advice or recommendations for any individual. LPL Financial and Inkpointe Divorce Solutions do not offer tax, legal or mortgage lending services or advice.