The “marriage” of legal counsel and a Maryland Divorce Financial Planner can provide divorcing spouses with significant financial issues with a definitive edge in their divorce negotiations.
Once thought of as an “attorneys only” process, more people are discovering that the addition of a divorce CPA or CDFA™ to handle the financial aspects of the divorce makes good economic sense. You now have a divorce team where each member uses their strengths to help you to attain your goals and/or or alleviate your concerns.
Wouldn’t it be more expensive?
This is probably the first question that people would ask. Most times, the CPA specialist’s or CDFA™’s hourly rate is much less than those of divorce attorneys. Also, these financial professionals have the education, training and experience in budgeting, financial projections, and tax analysis. So the bottom line is that you would be paying a lower hourly rate with a lessor number of hours charged.
What is the difference in approach?
Rather than taking a “cookie cutter” approach to resolve financial issues in divorce, a CDFA™ is trained to take the creative approach for bringing equitable solutions to each case. Instead of focusing on where you are now and how the finances are traditionally dealt with in the legal system, a CDFA™/CPA Specialist produces long-term financial projections, graphs, and alternatives that show clients and attorneys the financial results of settlement agreements. This includes the critical aspects of the settlement, e.g. Maryland Child Support and alimony guidelines, business interests, retirement and pensions plans, and the disposition of the family home.
The combination of this creativity and the attorney’s knowledge of the legal ramifications of a settlement, can many times shorten the negotiation process and provides a more suitable settlement for both spouses. It most certainly can give the spouse that employs this strategy the upper hand.
A CDFA™ or CPA divorce specialist who is also trained as a Mediator, can help divorcing spouses and their attorneys in two other venues. They can serve as a Financial Neutral in collaborative or cooperative cases or, facilitate financial discussions in attorney-assisted mediations.
John Faggio CPA,CFP® is a Certified Divorce Financial Analyst™. Faggio Financial is central Maryland’s exclusive divorce financial planning firm. We provide our clients with the financial clarity and creativity in developing their separation and divorce agreement. Start saving time, energy, and money in your divorce and email or call John at 410-988-7333 for an initial flat-fee consult.