WHEN we get married, divorce is the last consideration on our minds, but no one is exempt. Divorce can happen to anyone, and those who think it isn’t possible are only fooling themselves. Ask any newly married couple where they think they’ll be in ten years, and not one will mention divorce. No one ever plans on divorcing, but it’s a sad fact of life. People change, circumstances change, and divorce can happen to anybody at any time.
The financial consequences of divorce can often be as devastating as the emotional aspects. No one entering a marital contract expects to get divorced. Therefore, the prospect of having to divide assets does not come under consideration until one is in the throes of the divorce process.
With divorce statistics in this country hovering around the 50% mark, one out of every two married individuals is likely to be faced with the reality of divorce. Associated with this major life transition comes the inevitable dismantling of the financial merger accumulated over the life of the marriage. This is a particularly overwhelming and stressful task for the spouse who has had the least amount of involvement in the couple’s financial planning and money management.
If you believe that your marriage is going to possibly end any time soon and you are unsure about your marriage or what it will bring, you should start taking some simple precautious measures now. That way you can make sure that you are protecting yourself financially in case the worst happens.
Even if your divorce is friendly, don’t count on goodwill on what you should do about finances. Look at your situation objectively and use a lot of common sense. Now is the time to get informed about where your finances stand, even though you were previously passive about this in your marriage. The idea is to create a process toward eliminating financial ties from one household into two as seamless as possible.
The financial separation that comes with the divorce process can be made less difficult if you find out what your options are and remain aware of your financial situation. It is not an easy process but the pay off of conducting due diligence is well worth it.
One of the few advantages to divorce is that you are able to alter your spending habits and lifestyle drastically. Take this time to bone up on personal finance and get your budget into shape. The more amicable you and your spouse’s divorce settlement are, the less damage there will be to repair in your overall financial situation. As difficult as it is, the best way to keep your finances intact is to say goodbye to your relationship with the same grace as you started it with.
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Evangeline can be reached at her marketing location at the Ground Floor of Eagle Rock Plaza (in front of Jollibee), 2700 Colorado Blvd., Los Angeles, CA 90041 or at her business address at 655 N. Central Ave., 17th Flr., Glendale, CA 91203, phone number (323) 356-3803 or (323) 254-6787.
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The purpose of this article is to provide information of general interest to our clients and prospective clients. The information provided is general in nature and should not be considered complete information on any product or concept described.
( Published on September 12, 2009 in Asian Journal Los Angeles p. C4 )
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