Divorces are emotionally painful and financially draining. To speed up the process, you may find yourself hastily agreeing to split assets in a way that isn’t ideal. A certified divorce financial analyst can help protect your best interests.
What Is a Certified Divorce Financial Analyst?
Also called CDFAs, these professionals help you navigate the financial challenges you encounter during a divorce. They will often work with a divorce lawyer and have extensive experience in accounting, divorce law, and financial planning.
How Does a CDFA Work?
Divorce is complicated, and a CDFA can help you avoid making harmful financial mistakes by;
- Estimating current and future expenses
- Predicting how the rising inflation could impact your living expenses
- Assessing the future and current value of assets
- Determining how to split marital and personal property
- Checking proposed settlements for potential risks
- Estimating the future value of retirement accounts and pension plans
- Explaining the tax implications of transferring property or dividing assets
- Assessing how your insurance needs will be affected by the divorce
Who Needs a CDFA?
If you own a few assets, have no children, and both spouses are employed, dividing properties is relatively simple. However, you should consider enlisting the services of a certified divorce financial analyst if:
- You have physical assets that are challenging to liquidate, like real estate.
- Either or both spouses have businesses.
- Both parties have pension, investment, and retirement accounts
- One spouse works, and the other is unemployed
If you found this information helpful and would like to explore more, please visit Bridge Divorce Strategies.