Don't Make These Wrong Financial Moves During Your Divorce

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If a divorce is in your near future, you should begin very early on to realize that everything you do from now until the divorce is final could come back to haunt you. One of your smartest moves to make in order to ensure that everything goes as smoothly as possible is to retain the services of a family divorce attorney as soon as possible. Additionally, you should be aware of some particularly bone-headed financial moves that could end up causing you no end of problems if you are not careful. Read on so that you can avoid these two wrong financial moves during your divorce.

1. You treat yourself to something expensive

It's only natural to feel that you deserve a treat when you are experiencing so much stress, pain and depression. While a day at the spa or a new golf club may not raise any undue attention, make sure that you use good common sense when it comes to the amount of money you spend on this little pick-me-up. Your financial situation is not only a component of your divorce, it is also one of the most contentious areas of consideration.

Every aspect of your divorce is connected to money, and your frivolous spending during the separation period will come under close scrutiny. Instead of spending wildly, you need to concentrate on how your financial situation is about to undergo a major change and update your budget to more accurately reflect your future financial situation. Here's just a few reasons why you should delay your plans to make a large, showy expensive purchase until after the divorce:

• Divorces can be expensive, and you have no way of predicting exactly how much your divorce is going to end up costing you. Attorney fees, courts costs, expert witnesses, financial experts and more may be needed to help you get though this experience.
• That big screen television that you "need" for your new place may actually be considered marital property, and can become part of a divorce property settlement.
• If you are asking for spousal support (or alimony), you may have a more difficult time explaining how you cannot maintain your current lifestyle without support if you've just purchased a Louis Vuitton handbag.

2. You decide to leave the marital home

Once you make the decision to divorce your spouse, the mere thought of staying in the same house with that person may seem like torture. The alternative, however, is to potentially give up your right to that home and everything in it. If you can stomach the idea, try to just move into a separate bedroom or the den for the time being, even if you later plan on getting your own place. Why do you need to stay put?

• Once you leave, you could be seen as abandoning the home and its contents, making it more difficult to be awarded this valuable marital asset.
• When it comes to children, the person who has the family home has a distinct advantage. Judges are very reluctant to remove children from a familiar and secure environment because of a divorce, so while it may seem unfair you must become acquainted with how much value the family courts place on the health and well-being of a child. If you want custody of your minor child, you may also need to get custody of the home.

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4 October 2017