Divorce is a highly emotional process, but at its core, it’s a financial one. You have to determine how to divide significant and/or complex assets at a time when you may not be thinking clearly. You may be consumed by anger, resentment, fear and jealousy –- or dealing with a spouse who is.
So how do you make smart decisions that are going to affect you for possibly the rest of your life? Many people do it with the help of a Certified Divorce Financial Analyst (CDFA). A CDFA has special training in handling divorce-related issues. They in no way replace the need for experienced legal guidance. However, they can be a wise – and in the end a cost-effective — addition to your team. They’re particularly valuable if your spouse has been the one largely handling your assets and other financial matters.
What can a CDFA do for you?
A CDFA or other financial advisor can advise you on the pros, cons and long-term implications of various decisions so that you can seek what will be most beneficial to you and let other things that aren’t worth fighting over go. A CDFA can help you:
- Inventory your assets and debts
- Develop a post-divorce budget
- Clarify your financial goals for the future
- Determine which assets are worth keeping and which may end up being too costly in the long run
- Determine how much spousal and/or child support you need
Your financial advisor can help you lay out a clear financial case for why you need the support you’re seeking.
It should be noted that you should never choose a financial advisor who has worked for you and your spouse – no matter how well you know them and how much you trust them. You need people on your side who solely have your best interest in mind.
A CDFA can bring much-needed clarity and an objective point of view as you and your legal team work towards divorce agreements that will help you move forward into the next chapter of your life.