For example, if you have $300,000 in a retirement account, a family home, and you are an employee at a company, then you may be able to easily divide your assets without too much trouble or guidance.īut if there is any level of complexity in your assets, such as multiple holdings, multiple pieces of real property, business holdings, high-end jewelry or art pieces, and so forth, things can get tangled up quickly. But there are times when retaining a CDFA is warranted.Įven if you have a fair amount of assets, but they are easily identifiable and quantifiable, then you probably do not need a CDFA to assist you. In many cases, just using an attorney will meet all of a divorce client’s needs. ![]() There are a number of things to consider if you’re thinking about hiring a CDFA. Do I really need a Certified Divorce Financial Analyst? CDFAs are generally not attorneys, however, and as such, they are not permitted to provide legal advice. In some cases, CDFAs are also professionally trained as mediators or in collaborative divorce who can facilitate these types of situations if needed. ![]() They will also be able to factor in child support and spousal support to create an effective and comprehensive financial snapshot and strategy as well.ĬDFAs will have experience in accounting, financial planning and/or the legal profession which has been augmented by a specialized and intensive training program through the Institute for Divorce Financial Analysts to earn the CDFA designation. In addition to providing an overview of financial strategies and analysis, a CDFA will also drill down on more specific issues such as tax consequences of settlements, how to divide pension plans, stock options and other assets, the impact of health care coverage, life insurance, and the implications of splitting the family home and other real property interests.Ī CDFA can also assist with budgeting for post-divorce to give a client an idea of what to expect going forward and help to readjust expenses, investment portfolios and financial goals after the fact. This collaborative approach makes a CDFA a valuable voice to support an attorney’s efforts and may include providing testimony as an expert witness and deep analysis of business, financial and personal asset records.Īttorneys are well versed in legal aspects and may have a certain degree of financial knowledge when it comes to divorce, but a CDFA is specifically trained to deal with the financial impacts and long term implications that a divorce can create. What does a Certified Divorce Financial Analyst do?Ī CDFA takes the team approach and provides expert financial counsel to an attorney and other advisors for a client specifically working through the issues of a divorce.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |