Part of any divorce is considering each party’s financial situation after it is finished. Each party will need to make at least some financial adjustments afterward due to the simple fact that there are now two households instead of one. All of the negotiations Utah couples went through in order to come to a fair and equitable divorce settlement were aimed at giving each party the best start possible to their individual futures.
However, once the dust settles and the divorce is in the past, work may still need to be done. Each party will need to begin building a life that does not include the resources of the other party. For instance, many retirement accounts are divided, leaving each party with a much smaller retirement account than was there during the marriage. This is essentially true of many assets.
Speaking of retirement accounts, the beneficiary designations on these accounts and any life insurance policies will need to be changed, unless some other agreement between the parties exists. Estate planning documents, such as wills, trust and powers of attorney, may also need updating. The fact that these changes may need to be made after the divorce should be part of the negotiation process since these are assets that will no longer be available to the other spouse.
Once a Utah divorce if final, each party will be responsible for his or her financial future. A carefully negotiated divorce settlement can make this transition easier. In the first weeks and months of being single again, it may seem as though the financial situation will never improve. However, with careful planning, which can be at least started during the process, it will get better.
Source: dailyfinance.com, “5 Tasks to Help You Start to Rebound Financially Post-Divorce”, Hank Coleman, April 29, 2014