What is the Goal of Divorce Planning?
When divorce becomes unavoidable for a couple, there are many issues to be addressed, not the least of which is doing the necessary financial planning for the division of assets. This can involve various investment and asset transfer related transactions that will result from the break-up of the marriage.
The primary goal of divorce planning is to help both spouses with financial issues such as asset transfers and changes in beneficiaries on accounts and insurance policies in order to reflect the shift in marital status. When there are children involved, divorce planning may also include the allocation of income to or from each spouse for the care and needs of the couple’s children, with consideration for possible disparities in the spouses’ financial situations.
What Is Involved in Divorce Planning?
- Gathering and organizing financial information from both spouses
- Analyzing financial information as it pertains to each of the separating spouses
- Identifying both short term and long term financial needs as well as income requirements
- Developing recommendation as to the division of assets, property and income
- Implementing post-divorce financial decisions
Divorce planning is done in the context of a comprehensive, holistic financial planning approach. With holistic financial planning, all of an investor’s objectives – both financial and otherwise – are analyzed and addressed, using the appropriate strategies and tools to help investors move closer to their goals.
If you are going through this difficult time in your life, contact us to see how we can put together a plan that will be fair and equitable for all involved.