While the unique characteristics of a couple and their separation means that no two divorces are ever the same, many couples still make a few common mistakes when separating from one another. Whether you’re in the middle of a divorce, or still contemplating one, try to keep the following common divorce mistakes in mind to avoid unnecessary complications.
Settlements that Don’t Anticipate Future the Events
One of the primary objectives in a divorce settlement is to divide marital the assets equitably, which requires a valuation of your assets and understanding each spouse’s current circumstances. But in many divorces, spouses can make the mistake of focusing too much on the present, failing to anticipate what could happen in the future.
Remember, what seems fair now may put you in a difficult situation in the future, especially when it comes to events like job loss, disability, changes in your health or your children’s health, or a depreciation in your assets. Bottom line? When negotiating a settlement, always take into account things that may happen in the future.
Lifestyle changes are an unavoidable aspect of any divorce. Even if you were somehow able to negotiate to keep the marital house, get child custody and child support, and even receive spousal support, you need to be ready to make financial trade-offs in your life after marriage.
This might mean dialing back on your monthly spending, nixing the lavish annual vacation to the Bahamas, or postponing your plans to reward your teenage daughter with a car when she turns 18.
Not Paying Attention to the Details
The devil is in the details when divorces are concerned—more so if the divorce is of a complicated or contentious nature. Many would-be divorcees are often caught unaware by how exhausting the divorce proceedings can be, and how it often entails revealing details of their life they may not be comfortable sharing.
At the same time, you and your attorney need to gather volumes of data to support your claims during negotiation—something that may continue even after the finalizing the divorce. For example, if your splitting the costs of raising your children, you may be required to keep a record and share:
Miscellaneous living expenses
And by uninsured, we mean marriages without a prenuptial agreement. Although prenup agreements often have a negative stigma, they are a practical and realistic backup plan for protecting your interests and assets should the worst happen.
Prenups aren’t just for wealthy couples because they can help regular spouses stay together, helping them understand the repercussions of breaking up.