During a divorce proceeding in Michigan, people are often focused on getting the most out of the split-up financially. This is particularly the case when two people are attempting to divide major marital assets and property. A few tips may help those going through the divorce process to avoid common settlement pitfalls associated with this type of family law proceeding.
Many times, people who are getting divorced concentrate on benefits and issues that are short-term instead of considering the long-term impact of their financial decisions. In some cases, people rush to make decisions during the divorce simply because they are so eager to dissolve their marriages. However, money-related decisions made rashly during a divorce usually come with some drawbacks.
Property Division Decisions can be Tough
For instance, a person might choose to keep the marital house in exchange for a significant amount of money in a certain retirement plan. However, doing so means the individual might miss out on gains associated with investment returns, thus negatively impacting how much he or she can save up for retirement as well as the future. In addition, the person may end up having to get rid of the marital home if it becomes too costly to maintain on his or her own.
During a divorce, it can be difficult to see the big picture when one’s mind is clouded by the emotions of the marital split-up. With legal guidance, those facing these issues in Michigan may be able to more easily see how various settlement options involving marital assets may impact him or her years and even decades later. It is within the rights of both divorcing parties to strive for a settlement that benefits them while also being fair to the other party.
Source: USA Today, “5 biggest divorce mistakes financially“, Wendy Spencer, March 7, 2015