Don’t overlook these 8 financial Matters.
In a relevant article published by Cheryl Munk at Barron’s, there are 8 important areas to not forget during a divorce.
- Identify all income and assets. Don’t overlook such items as vacation properties, credit card points, frequent flyer miles, insurance, and safe deposit boxes.
- Check the fairness of the asset split based on aspects such as inflation, cost of living adjustments, taxes, etc.
- Check the tax impact of asset divisions. There are capital gains tax impacts when selling assets. Other things to consider are who will claim children as dependents, or future tax returns impacts.
- Don’t forget life and disability insurance costs on the breadwinner. You want to guarantee premiums are paid. Even the cost of long-term care insurance should be negotiated.
- How to divide retirement assets should be planned.
- Who will pay for children’s education through college should be planned.
- Make sure you are removed from all joint credit cards and other joint accounts and that current debts owned are correctly allocated.
- Update beneficiaries on all accounts and policies.
For access to the full Barron’s article, click HERE