Regardless of their post-divorce earnings picture, many women make self-defeating decisions regarding their property settlements. A prime example of this is the common fixation on trying to get the house. They think of how their children used the swing set in the backyard, and irrationally connect motherhood with getting the house. Emotionally tied to their homes, they don’t consider a host of important financial factors.
When a couple divorces, one household becomes two. This is expensive. Critical questions include:
Instead of getting the house, perhaps it would be better to get a fair share of the liquid assets (which may include money from the sale of the house), plus money for job-training or additional education.
The goal of post-divorce life should be financial independence and self-reliance. Finding a man with money after divorce isn’t independence; it’s dependence. As is the case when you’re married, a man is not the answer to your financial situation.
Often, the die is cast for becoming a financial victim of divorce during the marriage. The way to avert this fate is to claim your financial power and to use it to make beneficial decisions during – and, if you get divorced, after – your marriage. Claiming this power is an uphill battle when you’re divorcing, but it’s all the more necessary then.
Any opinions expressed here are solely those of the author.
Laura Mattia is a partner with Baron Financial Group, and a fee-only financial advisor. She's a Certified Financial Planner professional (CFP®), a Chartered Retirement Plan Specialist (CRPS®) and a Certified Divorce Financial Analyst (CDFA™) and holds an M.B.A. in accounting/finance. Her Internet radio show is Financially Empowering Women™ with Laura Mattia. A former professor at the Rutgers University Business School, Mattia is completing a Ph.D. in financial planning from Texas Tech University; her dissertation is on how to help women plan for retirement.