During divorce, it’s important to get a solid understanding of your finances. Simply put, financial mistakes today can cost you for the rest of your life. Regardless of where you may be in the divorce process, there are key financial decisions you need to make.
Emotions run high in divorce and chances are you’re feeling overwhelmed. It’s hard to stay focused on the big picture given the complexities involved. The decisions you make today will position you for the future. The role of the certified divorce financial analyst (CDFA™) is to assist a client and his/ her lawyer/ mediator to understand how the divorce financial planning decisions made today will impact the client’s financial future.
You probably started thinking about retirement the day you entered the workforce. For some of us, retirement is very far off. For others, it’s right around the corner. No matter what stage of life you’re at, PA retirement income planning should always be at the top of your mind.
What if you haven’t saved enough for retirement? Or worse, what if you haven’t saved anything at all? Relax and take a deep breath. All hope isn’t lost. There are seven small changes you can make today that will help you save more money and may even help you retire sooner.
During a recent conference, I started chatting with the woman next to me. We got on the topic of money and financial planning, and she mentioned that her husband handles their finances and investments and she feels like she is not in the loop. She is a perfectly capable woman having run her own business for many years. It’s unfortunate that a good number of women, even professionals, relinquish control of the family finances to their husbands. In fact, she said that if her husband passed away tomorrow, she wouldn’t know what to do with their money or even where all the accounts are located!
That was a huge eye opener for me. How many other women are in her shoes?
Turns out there are a lot. A recent study found that women are no more confident about money than they were ten years ago. And only 20 percent of women feel prepared to make financial decisions.
When it comes to your finances, you can’t afford to take a backseat. Here are five reasons why you should take control or least be an equal partner in the management of your money:
This is especially troubling since people are living longer. That means there are a lot of people who won’t be able to keep up their lifestyle during retirement. I always tell my clients to plan as if they’re going to live to 100 (never say never – the oldest woman who ever lived was 122!).
Getting divorced without a financial plan is like driving on a highway without your headlights. You have no idea where you’re going.
Divorce is one of the biggest life transitions. It has a huge impact on your finances – both short-term and long-term.
If that’s the case, why don’t more people divorce with a plan?
There are several reasons. One, it’s hard to have a plan when you’re not sure where to start. Two, it’s hard to plan when you’re riding an emotional rollercoaster. You need a voice of reason. You need someone to help you see clearly so you can plan for the future. You need a PA divorce financial planner with your bests interests in mind.