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Texas divorce can be financially challenging for both spouses

Wednesday, April 26, 2017

Obviously the most prevalent cost associated with divorce is an emotional one, but that does not preclude the other costs separation can accrue. In Texas divorce can be financially burdensome for both parties involved. It can be helpful to understand these challenges ahead of time and work to offset them in an amicable way in order to help the proceedings move along effectively.

In a prolonged financial recession such as the one Texans have weathered for the last several years, the cost of divorce can mean more than simply court fees. Houses that cannot be maintained by a single party may need to be sold in an unforgiving marketplace, shared retirement plans will be divided and therefore lose value, and any accrued debt may also end up being split. It is important to consider these issues when approaching a divorce scenario.

It may be tempting to buy into the so-called "do-it-yourself" divorce, but experts agree that individual representation for each party is still preferred even in DIY cases to help ensure paperwork is properly accounted for. Consulting with financial planning services can also go a long way toward determining assets and debt reallocation. Cancelling joint bank and credit accounts can be equally important in establishing individual credit.

Ultimately the best way to approach a Texas divorce is with as much prior knowledge as possible. To be better informed upon entering a divorce situation is to be better prepared for the financial challenges that lie ahead. This can mean the difference between a relatively quick and amicable divorce, and a drawn-out, expensive separation.

Source: Comox Valley Record, "The financial challenges of divorce," Carla Hindman, Aug. 7, 2013