If you are a woman in the middle of a New York divorce, the financial decisions that you make can impact your life after divorce for quite a long time. Here are some common financial mistakes to avoid.
Failing to get financial help immediately
One of the biggest errors is waiting too long to consult with a financial advisor. Women need to understand their new situation, and professionals can help with that. In addition to an attorney, you should also consult with a divorce financial advisor who can help you understand both your assets and your costs going forward.
Once your situation is apparent, you need to accept your “new normal.” Your life will likely change after the divorce. Failing to admit that could lead to your settling for too little or creating financial issues after the divorce.
Failing to focus on logic and liquidity
Some people let emotions get in the way of sound financial decisions during the divorce. An example is making an emotional decision to keep the family home at all costs when the proper financial move would be to sell it and split the proceeds. Finally, you may end up underestimating the amount of money that you need to live life now. Divorce is expensive, and you may need money upfront in order to either keep or sell the property. You must maintain a certain amount of liquidity to get through the divorce.
Your divorce attorney could point out these considerations to you during the process. They may also be able to introduce you to a financial advisor who could help. Then, your attorney and advisor might work together to assist you in the most advantageous negotiating strategy to reach a settlement that helps you through the short-term and can set you up for the future as well.