On CNBC Kelli Grant writes: “Getting divorced has a significant impact on your finances — and some missteps can make it even more costly.” There’s some advice to protect assets in divorce. To limit the monetary pain of a divorce, move through the process deliberately with help from a financial adviser, accountant and an attorney. Make sure to account for everything, not just current funds and non-cash assets. That includes income earned before the divorce that will be distributed later, like bonuses and retirement contributions. Have any property professionally appraised to take emotion out of the equation. Also take steps early to close any joint accounts and update beneficiary designations. If an ex-spouse remains designated as a beneficiary on a 401(k), it can trump what’s written in a will. Lastly, don’t cash out retirement accounts to pay off joint debt or legal bills. The tax penalty is too steep. (cnbc.com)
How to Protecting Assets in Divorce
