Collaborative Practice Marin

The Role of the Neutral Financial Professional in Collaborative Divorce

Divorcing couples are often unaware of the financial implications of various settlement options. The Neutral Financial Professional is a licensed Certified Financial Planner (CFP) or Certified Public Accountant (CPA) who also has been certified as a Divorce Financial Analyst who helps the couple evaluate their financial situation and develop creative solutions to complex financial problems. As a neutral, the financial professional has greater creditably in providing information and fostering a dialogue than an advocate.  This makes it easier to reach mutually satisfying agreements.

KEY AREAS TO CONSIDER:

  • Supporting two households on income that previously supported one
  • Sustainable budgeting
  • Workable property division
  • Tax issues, planning, liabilities, and funding
  • Family support
  • Business and pension valuations
  • Real estate values and issues
  • Recognizing that financial topics often involve very strong emotions

THE NEUTRAL FINANCIAL PROFESSIONAL HELPS PARTIES TO:

  • Gather information about the family finances
  • Get finances organized
  • Identify, clarify, and prioritize financial needs, goals, and concerns
  • Educate themselves about their financial situation
  • Validate emotions when they arise
  • Analyze income and expenses and assets and liabilities
  • Develop a blueprint for the legal declarations of disclosure
  • Prepare workable budgets
  • Address the financial arrangements necessary to support healthy children
  • Consult with additional neutral specialists when necessary
  • Evaluate possible settlement options with respect to short and long term consequences
  • Assess tax consequences for different scenarios
  • Make informed decisions on a level playing field
  • Generate creative solutions to financial problems
  • Communicate with the team and clients on financial matters
  • Review marital settlement agreement for accuracy as it relates to team financial discussions

THE NEUTRAL FINANCIAL PROFESSIONAL:

  • Gathers all relevant financial documents
  • Identifies and prioritizes financial needs
  • Prepares detailed financial reports for all members of the Collaborative team which also serve as the clients’ declarations of disclosure
  • Educates one or both clients regarding the family’s financial position
  • Assists with developing a client’s budget
  • Raises awareness of need for other financial specialists
  • Facilitates discussion of settlement options and analysis including tax consequences
  • Prepares projections based on the different settlement options
  • Brings the voice of financial reality to the discussions

 

About Collaborative Practice Marin

CPM is a community of legal, mental health and financial professionals working together to create client-centered processes for resolving conflict.  We are located in Marin County, California. 

Why Collaborative Divorce?

“Divorce is never easy but the collaborative process made mine bearable.  I had more control and therefore less stress and anxiety because I had an active role.”

~JF

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