One of the most common issues which leads to divorce in San Diego is financial trouble. It is important to protect your finances during your divorce to help re-establish your credit and financial footing. The financial impact after a divorce can affect your personal finances well into the future.
Most people make their spouse the beneficiary on any life insurance or survivorship account. One of the first things you should do if you are planning to file for divorce is to change the beneficiary on any account or policy. This helps to protect your interests now and in the future.
Many of our clients are unsure of some or all financial information. We are often told something to the effect of “my spouse always handled the bills and financial matters.” If you are considering a divorce you need to protect your finances during your divorce and make sure you fully understand all of your financial investments, accounts, retirement assets and debts.
You should have login access to all joint accounts, and statements for all financial accounts, assets and obligations for the past three years. Make sure you have also gathered tax returns for the past three years. Your tax returns hold additional clues to accounts or income you may not be presently aware of. This is especially important if your spouse owns a business or is part of a professional practice.
If you have access to your spouse’s paystub prior to divorce make copies. You may not have access to information about your spouse’s retirement account(s). This information must be provided at the outset of the divorce as part of the financial disclosures you make to one another. Deductions listed on their paystub provide insight into retirement vehicles and other investments.
One of the important steps to protect your finances during your divorce is the division of retirement and investment accounts. Not all financial instruments with the same apparent face value are equal. Our experienced divorce and family law attorneys provide sound advice and counsel at each step in the process. We can help you to be aware of and consider the financial decisions and information associated with the process as well as the potential for tax implications.