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Financial and emotional challenges of divorce are frequently difficult. Making avoidable mistakes may well result in emotional and financial destruction. Here are mistakes many people going through divorce often make--- mistakes that can cost you a fortune.
During the holidays, it is important for divorcing couples to restrain from excessively using credit cards if payments are ultimately destined to acrimonious negotiation, delays, or "held hostage" over custody arrangements.
If you will be dependent on an ex-spouse for alimony, child support and contributions to a college fund for the children, you should take steps to insure that the money will be there should anything happen to the ex-spouse. In the case of death, this can be accomplished by having your spouse apply for life insurance, before the divorce.
With the preeminence of options in the corporate world, and the emergence of "reporting" but non-listed corporations [often those issuing "junk bonds" to the investing public,] private company analysis, research and valuation can now rely more than before on the tools developed by analysts of public securities. A recent Business Valuation assignment of mine made this particularly clear.
Most family practitioners are aware that if a spouse involved in a divorce is self-employed, a corporate officer with a controlling interest in a small corporation or a partner in a professional partnership, income may not be accurately disclosed on his or her financial affidavit.
If the court refuses to award alimony at the final hearing, and if alimony is not included in the final judgment, neither spouse can return to court in the future and request alimony due to a change in circumstance. Many final divorce judgments in Connecticut award $1 a year in alimony because this preserves the right to revisit the alimony issue if circumstances change.
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