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The importance of a financial planner in a divorce

On Behalf of | Mar 3, 2016 | Firm News

When many Texas couples decide that it is time to get a divorce, each party often hires their own attorney to help ensure that their interests are protected. However, they often fail to have another type of a professional to help protect their financial interests. Not having a financial planner could be a costly mistake.

For example, the spouse who has custody of any children that resulted from the marriage is likely to ask for the family home as it is much easier to not have to move the kids around. However, the home requires mortgage payments and will have associated maintenance costs. The other spouse may end up with liquid assets, which could actually gain value over time without the upkeep costs. Having a financial planner who can discuss these issues during the divorce can help ensure that the person understands what their true financial situation will be.

Another common problem that occurs in many cases is hidden assets. Many divorce attorneys are simply not trained to find them. Financial planners who work with both parties may not be as keen to find hidden assets as they don’t want to lose a client. To avoid such a conflict of interest, each person should have their own financial planner.

When people are facing the end of a marriage, it is in their best interest to have their own attorney and their own financial planner. In most cases, the professionals will work together to help their client receive a fair share of the marital assets. Additionally, they may also help the client understand the financial implications of keeping certain assets.

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