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Financial repercussions of decisions made during a divorce

On Behalf of | Oct 22, 2022 | Divorce

In the process of ending their marriage, a Virginia couple will face the task of making decisions that will determine their financial futures. The choices they make regarding property division, spousal support and more will all impact their long-term interests and other aspects of their lives. It is critical to make smart, practical choices that will lay the foundation for a strong future.  

How much will a divorce really cost? 

Estimates suggest that a divorce can cost around $30,000. This does not include, however, the long-term costs that one could experience. In divorces where there is a significant amount of contention and disputes, such as custody battles, the cost of a divorce will be even higher. When thinking about divorce, it may be helpful to consider the following financial issues: 

  • Real estate – A couple will have to decide what to do with all real estate, whether it is selling the property and splitting proceeds, or one spouse keeping the property. 
  • Debt – Debt accumulated over the course of a marriage is subject to equitable division during a divorce. 
  • Marital assets – A couple will have to split all marital assets, which may include bank accounts, savings, physical property and more. 

It is important to consider the tax implications of the terms of any negotiated property division settlement. 

Seeking a strong future 

The ultimate goal in any property division settlement is to secure one’s long-term interests. This means seeking terms that make sense both now and well into the future. Each decision, even a seemingly minor one, can have significant financial impacts after a Virginia couple finalizes their divorce.