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What is the role of a CDFA in a divorce?

On Behalf of | Jul 24, 2023 | Divorce

The divorce process can involve the assistance and guidance of different professionals. One of these can be a certified divorce financial analyst. As a trained financial professional that focuses on divorce finances, a CDFA can help couples going through a divorce in North Carolina understand their finances and plan for their post-divorce future.

CDFAs can help couples through the division of assets

If you and your spouse are preparing for divorce, whether through a relatively amicable process of mediation or through litigation, a CDFA can be a valuable member of your divorce team to help you prepare for the division of assets. CDFAs can help couples reach a fair, balanced division of their property. Some of the things a CDFA can help you sort out include:

  • Figuring out the value of your liquid and non-liquid investments
  • Understanding your retirement and pension plans and how to avoid unnecessary penalties if you choose to divide them
  • Assisting with appraisals of real estate properties and other assets such as vehicles, antiques and artwork
  • Identifying the tax implications related to each financial decision made during the division of assets

CDFAs can help couples plan for their future

An important aspect of the divorce and reaching a fair settlement will involve future plans and financial stability. CDFAs can assist couples in creating realistic budgets that will allow them to be financially stable even after the divorce.

This might involve figuring out how to maintain separate households when one of the spouses had been a stay-at-home parent, for example, and might involve discussions about child and spousal support. It might also involve realistically evaluating assets and liabilities accrued during the marriage in order to make decisions about keeping the family home and what each spouse can afford after the divorce.

CDFAS receive training to achieve their CDFA certificate. They can provide a neutral outlook on finances during your divorce that can help you reach a settlement that works for both you and your spouse, helping to offset any additional conflicts that might arise during the discussion of finances, which can become emotional.