Couples considering divorce in New Jersey go through a range of emotions, but those experiencing high-asset divorce have more on their plates as the financial stakes are higher. Reaching an agreement can take time, further adding to emotional turmoil. Knowing what to expect can help you deal with the situation.
When possible, planning ahead for your future finances can help you avoid unpleasant surprises during divorce negotiations. Understanding that your finances will take a hit to some extent will make you more realistic about what you will face. Among the areas you should consider are:
- Child care, custody and support
- Current debts
- Decreased income
- Retirement income
- Alimony expenses or payments
- Legal expenses
Adversarial vs. collaborative divorce
Adversarial divorces can take years to resolve. They are also more expensive as you’ll go through multiple court hearings and proceedings, resulting in higher court fees and legal fees. Collaborative divorces take less time and money because you and your spouse reach an agreement prior to presenting it before a judge. However, if you fail to reach an agreement through collaboration, you’ll go through the adversarial process, making the overall cost even higher.
Avoiding financial mistakes in divorce
High emotions can sometimes lead to bad financial decisions. Seeking a favorable resolution through mediation or similar means could help prevent costly mistakes.
In addition to legal assistance, couples going through a high-asset divorce should work with financial advisors to protect their interests. Financial professionals will offer you a realistic assessment of what to expect in your post-divorce life.