Financial planners can be extremely useful when spouses are separating. They can assist clients and lawyers by explaining the implications of settlement and can provide clients with invaluable advice regarding whether or not a proposed settlement will allow them to meet their future financial needs.
Settlements often include a provision for lump sum versus monthly spousal maintenance and a financial planner can advise a client how the lump sum payment can be invested and what annual return they can expect.
A financial planner can also calculate how much life insurance is required to secure ongoing spousal maintenance and or child maintenance payments to ensure there is sufficient money for the family if the payor spouse dies.
Financial planners can also be qualified as experts in a court application to explain to the court why a certain level of spousal maintenance and child maintenance is required and is justified.
Finally, financial planners can be invaluable to explain the ramifications of pension divisions advising on how much money will be available to the recipient spouse and when the money will be available.
Deborah A. Todd
