When California residents are thinking about ending their marriage, one of the first things they should do is see a financial adviser. Such a professional may help them to understand the whole picture of their finances so that they don’t end up making costly mistakes after they file for and get a divorce.
Some people make the mistake of not getting professional financial advice before filing for divorce. Financial advisers have specific training and skills geared towards helping to protect their clients’ assets.
A financial planner may also help by finding assets and accounts the other spouse may have hidden. One may also be able to help uncover debts about which the client may be unaware. Different property divisions may have different tax consequences as well, and a financial planner may be able to explain the types of tax liabilities their clients may face by wanting to hold on to a particular asset or by agreeing to accept one in a property settlement.
Financial advisers and family law attorneys can often work hand in hand in order to best protect their client’s future finances. Waiting until after a divorce is finalized to speak with a financial planner may cause people to lose thousands of dollars and to suffer damage to their credit. An attorney may instead collaborate with the financial adviser in order to negotiate a property and debt division agreement that will provide the best benefits to the client. If negotiations prove to be unsuccessful, however, then these issues may have to be resolved through litigation or mediation.