Understanding the Potential Financial Costs of Divorce
Along with bringing emotional turmoil, a divorce can be financially disruptive. One of the first questions many spouses have once their marriage ends is how much the legal dissolution process will cost. Of course, no simple answer exists. Like marriages, each divorce is unique and various factors can affect the fees you will need to pay in order to reach a resolution.
Though you may not be able to come up with a precise estimate of your divorce costs, an understanding of some of the major expenses can help you plan a budget and make informed choices. Spending on your divorce can include:
- Litigation costs — Resolving a divorce in court requires extensive preparation. Even matters that seem simple, such as the exchange of relevant information, can trigger thousands of dollars in litigation costs. A close examination of mediation and other non-litigation options is warranted if you’re looking to keep expenses down.
- Expert fees — Whether you litigate your divorce, negotiate a settlement or resolve dissolution terms with the guidance of a mediator, you’ll likely require assistance with complex issues. Identifying the best possible solutions often requires professionals who have insight into matters pertaining to custody and financial concerns. Hiring a child psychologist, forensic accountant, real estate appraiser or some other expert can be very useful but also costly.
- Property distribution expenses — There are various unforeseen costs that can spring up as you and your spouse unwind your financial affairs. If you are selling the family home as part of the breakup, keep in mind that needed repairs, staging costs and realtors’ fees may cut significantly into the money you collect from the sale. Given the circumstances, you may not have the time to wait for the best offer when your divorce leads you to sell a home, car or investment.
You cannot control every aspect of your divorce, but thoughtful decision-making can relieve some of the financial burden. Spending thousands of dollars and several months to prevail on a certain point of contention might not be worth it, even if the result eventually goes in your favor. Likewise, you need to remember that the dissolution process is not designed to settle emotional scores. A cost-effective approach such as mediation can focus on what’s really important.
Located in Melville, Solutions Divorce Mediation, Inc. assists Long Island clients who seek to end their marriage while avoiding undue expense and aggravation. You can call 1.631.683.8172 for a free initial consultation or contact us online.