If you think or know that you will be going through a divorce in the near future, you are likely concerned about protecting your financial assets or at least ensuring you get a fair shake from the divorce court when all is said and done. If you want to get through this process with as little heartburn as possible, there are some things you can do now to try and protect your financial assets. Here are some important tips to keep in mind.
Get a Full Accounting of What You Have
If you want to protect all of your assets as much as possible, you need to know exactly what you have. You can rest assured that the other side will do whatever digging they need to find this information, so make sure you know what is possibly at risk. Get bank statements or documents from retirement and investment accounts, any information regarding a family business, big budget items like your car or boat, and so on. You may want to ask an accountant to write up a document that puts all of your assets and property down on paper and comes up with a final value. Don't forget to subtract any outstanding loans or debts from your assets as well though. Once you know what you have, you can begin the work of holding onto as much as possible.
Create Your Own Accounts
If you and your spouse have joint accounts for a lot of different things, open up your own individual accounts as soon as possible. Start direct depositing your paycheck into your individual account just as an early step to assert financial independence. Be careful though about raiding the joint account as that could cause problems with your still current spouse or cause problems in court later. Only take money you know for certain you can back up with documentation proving it is yours.
Hire a Divorce Lawyer
The best way to protect your financial assets during a divorce is to hire a divorce attorney as soon as possible. Your divorce law expert can help with some of the above advice including assembling a full accounting of your financial holdings in order to begin the process of protecting them. Your divorce lawyer may also be able to investigate your spouse's financial situation in order to use this information to benefit you.
Read Up on Community Property Laws
Community property laws can come into play during divorce but the laws can be different from state to state. Do your own research but also lean on your attorney to use these laws to your benefit.
Get Proof of Personal Assets Before Marriage
If you have assets you know you want to protect, you might need documentation proving you owned them before the marriage or that they were given specifically to just you. A prenuptial agreement can help here or proof of an inheritance that was left to just you is another example.
For more information on divorce law, contact a professional near you.
