Study says women may be on better financial footing post-divorce
Posted by Thomas Pettinicchi of D'Amico & Pettinicchi, LLC on Jul 20, 2012 in High Asset Divorce
Here in the Watertown area, the chief concern for those going through divorce is usually their children. Child custody issues, child support needs and the emotional impact on children are major concerns when dissolving a marriage. Second to this, but also extremely important, is finances. Connecticut residents want to know how much a divorce will cost them in both the short- and long-term.
A new study should put some of these potential divorcees at ease. According to the Spectrum Group, divorce is actually associated with financial independence and achievement for women. In fact, among divorced high-asset women worth $1 million or more, 62 percent of them believe they are better off financially after divorce.
High-net worth men can stop worrying, too, because these women are not so well off after divorce because they are getting the upper hand in divorce settlements. Women polled say their financial prowess after divorce is attributed to increasing their financial literacy and becoming very knowledgeable about investments after ending their marriages.
These women say that they are making better financial decisions now that they are independent and at the helm of their own portfolios.
Unfortunately, the same study found that lower-income women generally fare much worse financially than men after divorce. This may be because higher-income women have the means to protect themselves from some of the hardships that can follow divorce, according to the study's authors.
Divorce does come with financial challenges, although the results of these can ultimately be positive. Shifting from a double-income to a single-income, or a single-income to no income, and separating one household into two certainly comes with lifestyle changes. During divorce negotiations, it is important to talk with your family law attorney about your current lifestyle and your future needs so that your best interests are addressed in the settlement.
Experienced divorce attorneys can find creative solutions and help ensure that the terms of the settlement are beneficial, fair and reasonable.
Source: Fox Business, "Why Women are Financially Better Off After Divorce," July 16, 2012