Now you might think that, faced with the emotional turmoil of a marital breakdown, the state of your finances would be the last thing on your mind.
But ask any of the 45% of married couples who go through a divorce, and you’ll find that it’s right up there, just after who gets the kids. And when you consider what’s involved, it’s really no surprise.
Find yourself in the divorce court and you’ll have to declare all your assets – your investments, bank accounts, car, your home, even your pension arrangements – then sit and watch quietly while someone else decides which you get to keep, and which you don’t.
The decision on who gets what depends on a whole range of factors such as income, potential earnings, whether there are children involved – so it’s no wonder that things frequently turn nasty. And even if the break-up is amicable and a settlement reached fairly quickly, the effect on each partner’s standard of living can be colossal.
That’s why pre-nuptial agreements are becoming ever more common, even on this side of the Atlantic.
So if you’re heading into a divorce, or if you’ve just come through one, it makes sense to review your situation, review your financial goals, then set yourself on the right path to achieve them.
If you have any questions around this topic, please feel free to get in touch with us directly.