Financial disagreements are some of the main reasons that many married couples decide to part ways. One survey involving experts on the matter reported that approximately one in five marriages will end because of financial disputes. Furthermore, the financial implications of divorce have many individuals in Michigan thinking about hiring a certified divorce financial analyst in addition to a lawyer.
One 2019 report showed that only 6% of women in search of a divorce employed the services of a CDFA. One reason for this is that more than half of the women surveyed said they had never heard of these professionals.
It is common in many marriages for one spouse to possesses more knowledge of assets and other aspects of family finances than the other. If there is an accountant or wealth manager involved, he or she will usually possess a working relationship with the spouse controlling the family finances.
A CDFA works in tandem with a divorce attorney to ensure the best possible financial outcome for clients both during and after the divorce process. Some of the tasks completed by a CDFA during the divorce process include collecting financial data, budgeting, helping to target financial goals and assisting the client as they establish retirement objectives.
The job of a CDFA is to ensure that the decisions a client makes during a divorce will place them on a firm financial footing after the split. To do so, a CDFA helps with decision-making regarding things like family heirlooms, college savings accounts, wedding rings and other valuables. A CDFA is also available to explain how property division, children’s needs, tax issues and retirement plans will affect the divorcee as he or she moves forward in life.
Most couples enter a marital agreement with the intent to live the rest of their lives together. In the event that the union does not last for life, both parties will need to protect their financial interests in a way that allows them to begin rebuilding their lives post-divorce. Individuals considering a divorce may find it helpful to speak with a family law attorney.