Divorce Financial Analysis
We know from having worked with our clients that they face stress and uncertainty about their financial future. Our goal is to help you achieve a financial peace of mind, which will then allow you to move forward in your life with confidence and calm.
During the divorce process a spouse will face numerous financially related decisions, many of which will impact their lives after the divorce is final. A divorce can create a financial hardship.
As a member of the Institute for Divorce Financial Analysts, Ira is specially trained and is a certified specialist in divorce financial analysis. He works to provide financial guidance before, during and after divorce to a spouse, their divorce attorney, their mediator, or as a financial neutral to a couple.
Our analyses will help you understand your family’s financial situation, your family’s financial needs, the financial implications of the choices you face and the financial ramifications of potential settlements. We also will help you develop alternative settlement options and then help you make informed financial decisions that satisfy your family’s needs. We strive to improve your financial settlement and financial future.
Frequently Raised Issues Of Concern Include:
- How much money do I need to maintain my current lifestyle?
- Will I have enough money to live on after the divorce?
- How much money will my children need to live on?
- How do I calculate and evaluate my own and my family’s current financial situation, including our income, expenses, assets and liabilities?
- What is my family’s net worth?
- Will I be able to live in my current home after the divorce, or will I need to consider downsizing?
- Has all marital property been accounted for?
- What would be an equitable distribution of our marital property?
- How should our pensions/401Ks be divided?
- How will taxes affect the divorce?
- How much is my spouse’s business and/or investment real estate worth?
- How is marital debt divided?
- Has my spouse hidden any assets?
- Assistance analyzing financial reports prepared by other financial experts
- Should I handle my divorce through mediation, collaboratively, or through litigation?
Frequently Asked Questions:
Why Hire a CDFA™ ?
The financial negotiation with your spouse over settlement terms can be one of the most important negotiations in your life. A divorce can create a financial hardship. Divorce decrees are final.
A CDFA™ is a Certified Divorce Financial Analyst who has received specialized training and is a certified specialist in divorce financial issues.
A CDFA™ helps the client understand and evaluate the numerous issues that may be part of a couple’s finances, including the family’s lifestyle cost (income sources and expenses), the distinction between marital property vs. personal property, bank accounts, the marital home, investment stocks/bonds/mutual funds, retirement plans, pension plans, a spouse’s business, investment real estate, life insurance, health insurance, child support, marital support, how insurance can help guarantee support payments, tax issues in divorce and marital debt.
Additionally, a CDFA™ helps the client analyze the differences between settlement proposals from his/her spouse, prepare necessary financial documents and help the client understand the consequences of a prospective settlement.
Ira has both a CDFA™ and 30 years of experience solving financial issues, including extensive experience with major Wall Street firms, and through earning a Harvard Business School MBA.
Ira’s background also includes experience in almost all of the financial assets a family may own (assets are noted above), two securities licenses, a NY State insurance license, and a NYS real estate brokerage license. He also holds a CRPC® as a Chartered Retirement Planning Counselor. Ira works to help the client achieve a settlement that satisfies the family’s needs.
Why Can’t My Accountant, Financial Advisor, or Financial Planner Help Me With My Divorce?
These professionals are not typically trained in the financial issues of a divorce.
Accountants typically produce historically based analyses that show what has already occurred (e.g., historical tax returns, historical financial statements). In a divorce, they might perform forensic analysis to find hidden assets, or audit a business.
However, accountants do not generally make the types of financial projections necessary to evaluate settlement offers.
b. Financial Advisors.
Very few financial advisors (approximately 1%) are credentialed as a Certified Divorce Financial Analyst™ (CDFA™). Furthermore, major financial firms (e.g., Merrill Lynch Wealth Management, Morgan Stanley Wealth Management, UBS, etc.) place limits on the types of reports a Financial Advisor can issue and assets on which a Financial Advisor can provide guidance.
c. Financial Planners.
Financial planners help their clients accomplish the client’s financial goals. However, financial planners are not generally trained in divorce financial issues, nor do they typically have the necessary software to analyze potential divorce settlements.
Why Can’t My Attorney Handle All The Financial Issues?
We have found that many attorneys appreciate the work of a CDFA™, as it frees the attorney to focus on the case’s legal issues, while leaving the CDFA™ to focus on the financial ones.
Not all attorneys have Ira’s breadth of financial training and experience, nor do all attorneys enjoy reconstructing the financial details of a client’s life.
It may also be less expensive and more efficient to have a CDFA™ prepare the financial analyses in a divorce case.
We work to complement and support your divorce attorney’s work. Our work is not redundant, nor do we compete with your attorney’s work. We provide a high degree of value to the client, as our goal is to improve the client’s financial settlement and financial future.
When Should I Start Working With a CDFA™ ?
The sooner the better. Many individuals considering divorce wish to have a good understanding of their divorce financial picture before they make the final decision to pursue a divorce. An early understanding of their divorce financial situation helps to reduce stress and uncertainty.