Financial Considerations in Divorce: Dividing Assets and Debts
When you’re facing divorce, one of your biggest concerns is likely how your financial assets and debts will be divided. You’ve worked hard to build your financial foundation together, and now you need to separate it in a way that’s fair to both of you.
The traditional divorce approach sends you to court, where a judge makes these critical decisions for your family and pits you against each other. But there’s another path that gives you significantly more control over the outcome – collaborative divorce puts the decision-making power back in your hands.
In the collaborative divorce process, you and your spouse work directly with a team of trained professionals to address your financial concerns. Rather than having someone who doesn’t know your family’s unique circumstances make binding decisions, you maintain authority over your financial future.
Your collaborative team includes specialized attorneys, neutral financial experts, and mental health professionals who understand the complexities of divorce finances. These professionals aren’t there to advocate for one side against the other – they’re focused on helping both of you reach mutually beneficial solutions.
Complete financial disclosure and information privacy are the foundation of this divorce process. Both parties must provide comprehensive information about all assets, debts, income, and expenses. This transparency might feel uncomfortable initially, but it ensures that any agreements you reach are based on accurate information and promotes fairness in the division.
The collaborative process typically proves more cost-effective than traditional litigation since you’re not paying attorneys to fight lengthy court battles. This approach preserves a greater portion of your joint assets for your post-divorce life.
Collaborative Practice San Diego is a nonprofit, multi-disciplinary referral network of independent professionals of attorneys, mental health professionals and financial advisors working together to learn, practice, and promote Collaborative processes for problem-solving and the peaceful resolution of family law issues to preserve the emotional, as well as the financial assets of the family.
Contact us today to see how we can help you and your spouse work towards a peaceful resolution for your marriage.
Note: This information is general and should not be construed as legal/financial/tax/or mental health advice. You should work with your attorney, financial, mental health or tax professional to determine what will work best for your situation.
