No one ever said that divorce was easy — quite the contrary. Generally, when Maryland residents think of divorce proceedings, they think of the complexities of property division and the pain of having to give something up. However, a big financial windfall from the close of a divorce settlement can also be difficult to handle — especially if one is not accustomed to managing the family finances.
In order to stay on track and not get overwhelmed, there are several things that Maryland residents can keep in mind if they are going to receive a lot of assets after a divorce. First and foremost, getting organized is key. Making a list of all one’s assets, both jointly owned and separately owned going into the divorce process is vital. By knowing what you have, by understanding your prior tax filings, and by knowing what you want coming out of the divorce, the divorce proceedings can continue without the same level of fear and stress.
Creating a budget is also helpful. That budget will need to include daily living expenses, money to put in savings, a budget for legal expenses, and other potentially unexpected costs, which may have previously been paid by a future ex-spouse. In the event that a large divorce settlement is expected to be received, it is vital not to sign any kind of legal documentation until an attorney has reviewed it. That way you can avoid unintentionally signing away your right to a future divorce settlement and other negative consequences.
When in doubt about one’s finances and legal rights leading to a divorce, it is important to consult with professionals. Maryland residents can benefit greatly from assistance from legal and financial professionals during their divorce proceedings. These individuals can help one to navigate the complex property division process to limit emotional turmoil and fear band to ensure that all parties are equally treated under the law.
Source: The Huffington Post, “Sudden Wealth From a Divorce?” David A. Dedman, Aug. 21, 2014