Critical Financial Mistakes

Critical Financial Mistakes

During the divorce process, it’s easy to get stuck in the past – remembering better times, trying to figure out what went wrong and when. There is no room for emotion in the settlement stage of divorce. Divorcing couples need to focus on their future and making decisions based on emotion, or when you are in an emotional state, can have devastating financial consequences.

Some of the most common, yet critical mistakes
  • Not knowing/understanding your financial picture
  • Having unrealistic expectations
  • Failing to establish a budget
  • Overlooking important information & hidden or complicated assets
  • Making financial decisions based on emotion
  • Failing to consider the impact of taxes
  • Disregarding the long-term effect of inflation
  • Not understanding the rules of retirement accounts
  • Not knowing the liquidity of assets
  • Focusing on the past or present and not on the future
  • Assuming all assets are equal
  • Using your attorney to punish your spouse
  • Fighting to keep assets you cannot afford
  • Not updating financial, estate and insurance documents
  • Failing to insure payments from the divorce settlement
  • Failing to establish a post-divorce financial plan
  • Accepting a settlement to simply end the process

Click to download The 15 Most Costly Financial Mistakes Made During Divorce