Divorce Financial Planning

“They ought to do away with divorce settlements. Instead, both parties should flip a coin.
The winner gets to stay where he or she is and keep everything. The loser goes to
Paraguay.” -Suzanne Finnamore, Split

Educating Parties on Effective Financial Strategies

In divorce, both parties often feel as though they are the losers. This mind set often makes it
difficult to work together to reach an equitable and practical solution regarding finances. Conflict
around the division of finances hurts everyone because finances play a critical role in the future
security of both the parents and, if present, the children. A major gap in the standard of living
between the parents causes the children to suffer. When one spouse thrives while the other
struggles, goodwill is lost and leads to further acrimony. Divorce Financial Planners support the
education of the parties regarding the reality of their current financial position and the
possibilities for the future. The perspective shifts from both feeling financially defeated to both
parties envisioning a financially secure future for everyone.

The Role of a Divorce Financial Planner (“DFP”)

After all the relevant financial information is gathered, a Divorce Financial Planner joins the
mediator and both parties in reviewing their current circumstances. They then explore a
reorganization of assets and liabilities to support future budgets to ensure each has an adequate
standard of living post-divorce

When the numbers just don’t add up, it may be time to get creative. Generally, there are
solutions, both short and long term, that involve looking beyond the parties’ existing
circumstances. They may involve temporary living arrangements, more education, new or
different jobs, sales of assets, withdrawals from retirement assets, cutting expenses or increasing
incomes or other simple or complicated changes. The mediator and the DFP develop a blueprint
for each party to first achieve stability, and then prosperity.

Divorce financial strategies aim to create financial security for divorcing couples. Security
permits parties to concentrate on their own families and newly structured lives instead of battling
with their former spouses because of a broken relationship. A DFP works with couples to assist
them meet their individual financial goals. They help the client get re-launched with a solid
financial plan, educate them on budgeting strategies and set up realistic goals for meeting these
goals.

Options for Divorce Financial Planning Services

The Resolution Center integrates a divorce financial planning review as a part of the Solution-
Focused Divorce package. The DFP reviews the parties’ financial situation at the time of divorce
and offers suggestions on how to structure the allocation of assets and liabilities to support the
post-divorce budgets of both parties. A DFP may also offer extended services to expand and
manage the parties financial plan following the completion of the conciliation process.

CONTACT US

The Resolution Center

49 South Elm Street
Zionsville, IN 46077
Phone: 317.344.9740
info@theresolutioncenterindy.com

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