What financial experts wish you knew about divorce
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Divorce is a major financial reset, yet also one of the worst times to make a lot of important decisions, according to financial experts.
Divorce is a major financial reset, yet also one of the worst times to make a lot of important decisions.
There are emotions, for sure, said Lena Keshysheva, founder of B.C.-based Sapling Financial Planning & Wellness. But there’s also sheer volume and exhaustion.
“While I encourage people to start thinking about the financial planning aspect of things, I also encourage people to wait on purchasing their life insurance policies, or to wait to change their investment advisers, or wait to purchase the new home until there’s clarity,” she said.
Those going through divorce eventually suffer from "decision-making burnout," she added.
Assemble a support network, including legal and financial expertise, and then go slow from there, Keshysheva said. Some decisions can be delayed or spaced out. The only critical error to avoid is trying to do it without legal help.
“People tend to try to save money and not have the legal advice,” Keshysheva said. “That’s a bad idea. Legal guidance is non-negotiable.”
There is often a learning curve on finances for one or both spouses, said Colin White, CEO of Verecan Capital Management in Halifax. It’s rare for both people in a marriage to have an equal hand in every aspect, he said.
