When it comes time to split assets in divorce, you may be wondering how the collaborative divorce process can make things easier and more streamlined.
Courts in Arizona are tasked with dividing assets and debts “equitably,” which usually means that everything is divided 50/50. On the other hand, the Arizona collaborative process lets you divide your assets and debts in a manner that is of greater benefit and is if often less costly.
Collaborate to Split Assets in Divorce
During the collaborative divorce process, you and your spouse will have the chance to discuss your preferences in dividing the marital assets in divorce. This can be an emotional process, so it’s important to keep the lines of communication as open as possible. It is also critical that you not let emotion override making sound financial decisions. If you divorce in court, most of your interactions with your spouse will occur through your respective attorneys. In a collaborative divorce, you’ll have access to an entire team – your collaborative attorneys, a communication specialist and a neutral financial expert – to help you understand the implications of your decisions and help you to make the best possible decisions for your family.
Rather than assuming you will equally split each asset in the divorce, the collaborative process enables you to customize the division of assets. For example, one of you may have a significant sentimental attachment to the residence, pension or other assets. In this case, a judge may determine that you should sell the item and split the proceeds evenly. In a collaborative divorce, you could choose to keep the item in exchange for giving your spouse something they value. Likewise, a judge may order a certain asset to be equally divided regardless of potential negative tax consequences, whereas you and your spouse, with the assistance of a neutral financial specialist, may determine that it makes more sense to handle that asset, and its tax consequences, in a different way.
Navigating Touchy Subjects to Split Assets in Divorce
Financial discussions can be emotional and stressful, especially during the divorce process. To divide assets in divorce with minimal distress, it’s important for you and your spouse to be open and honest. Transparency is key in the collaborative process. When this happens, you and your spouse will be much more satisfied with the outcome.
Of course, you and your spouse will need to work together throughout the collaborative process. It helps to be on good terms with each other, or at least be willing to let a communication specialist help you work on your communication skills. Keep in mind that collaborating to split assets in divorce should be approached in the best interests of everyone involved since the goal is a mutually beneficial outcome.
While it can be difficult to discuss financial matters, you won’t be doing yourself any favors by avoiding these conversations. Take time to consider what you hope to achieve when you decide how to divide the marital assets in divorce. Prioritize valuable items and financial accounts so you can identify what’s most important to you. This way, you won’t waste time discussing items that don’t mean as much. This will also help you identify items you’re willing to exchange with your spouse for items you really want.
Learn More About How to Split Assets in Divorce Using the Collaborative Process
The collaborative divorce process is a unique, customizable method. The professionals at Best Legal Choices will be happy to answer your questions about the process to help you decide if this method is right for your divorce.
Contact the professionals at Best Legal Choices to learn more about options for how to split assets in divorce in the easiest, most painless way possible.
Mr. Juilfs is the founder and managing member of Fair Share Divorce. He began his career in the Financial Planning industry as a Financial Advisor with American Express Financial Advisors in 1997.