A: If you’re getting a divorce you need to think about a lot of things financially. The number-one mistake most women make in divorce, and it’s understandable, is wanting to keep the house. The problem with that is, houses are expensive. Without sufficient income to support the house, it could be one of the worst decisions you could make. What happens all too often is, women take the house and the house costs them money. The men take the investments and the investments grow and generate money.
The second mistake in divorces is, when it comes to investments, many women don’t know which ones are worth keeping. Lawyers often don’t know that either!
When getting a divorce, it’s important to involve a financial professional in addition to a lawyer.
I’ve seen cases where the men have given women the largest share of the investments but they gave them all the crappy illiquid ones. The women thought they were getting a great deal but unknowingly took on things that had liquidly lock-ups or were low in quality.
The third thing is to think through all other areas of value. For example, small things like frequent flyer miles and big things like pension plans are assets that can be divided. So know what’s considered an asset to make sure you don’t leave your share on the table.