Going through a divorce is never easy in Virginia, and making smart financial decisions during this time can be difficult. If you are not careful, you could end up making some costly mistakes that can have a negative impact on your future. Some of these include:
Ignoring out-of-court settlements
If you and your spouse can come to an agreement outside of court, it is usually a better option financially. Going to trial will likely be more expensive and can result in a less favorable outcome for you. If you and your spouse take advantage of options, such as mediation, you may be able to save yourself a lot of money.
Being unclear about debts
Before you and your spouse split up, it is important to know how much debt you are both responsible for. While the court may decide that you get to keep certain assets in a divorce settlement, this does not mean that all of the liabilities will go to your spouse. It is best for both parties if these issues can get sorted out ahead of time.
Failing to consider hidden assets
If you do not know about all of the assets that your spouse owns, you may be missing out on a portion of what you’re entitled to. If your spouse has hidden away certain items or accounts from view, it is possible to uncover them during divorce proceedings.
Not considering the impact of taxes and fees
When you get a property in the divorce settlement, it is important to consider your tax liability. It is also possible that you could have some other costs associated with owning certain items, such as maintenance or upkeep. When negotiating your settlement, take these issues into account.
Making smart financial decisions during and after a divorce is important for both you and your spouse. By avoiding the mistakes listed above, you can minimize the chances of this happening.