Divorce financial planning may occur even if the material elements are not provided to a client simultaneously, are delivered over a period of time or are delivered as part of distinct services.
It is not necessary to provide a written report to engage in the divorce financial planning process.
A divorce financial planning engagement exists when a divorce financial planning practitioner performs any type of mutually agreed upon divorce financial planning service for a client or allied professional.
The universe of activities engaged in by a divorce financial planning practitioner is diverse, and a divorce financial planner may perform all or some of the following services in a divorce financial planning engagement. Services may include, but are not limited to:
- Financial statement preparation and analysis (including cash flow analysis, analysis of financial position and budgeting),
- Assistance in identifying financial discovery needs,
- Assistance in the preparation and analysis of interrogatories,
- Assistance in preparing for depositions and court proceedings,
- Financial review of transcripts from depositions or court proceedings,
- Analysis of financial reports prepared by outside experts,
- Assistance in the preparation or analysis of applications for pendente liteawards and arguments opposing such applications,
- Analysis of current or projected needs and/or paying abilities,
- Child support calculations,
- Assist attorneys in the preparation of separation agreements, decrees, stipulations and pre- and post-marital agreements at their request.
- Review of Qualified Domestic Relations Orders (QDROs), valuations and employee benefit documents,
- Tax impacting of retirement assets, potential property distributions and alternative support scenarios.
- Analysis of financial and tax issues related to the marital residence, the filing of tax returns and dispositions of property,
- Analysis of unrealized capital gains and losses,
- Review of tax returns to identify assets, sources of income, undisclosed, transferred, hidden or obligated assets or carryover credits or refunds,
- Identify and analyze career assets, such as health, life and disability insurance, retirement assets, stock options, restricted stock, assets associated with nonqualified plans and other perquisites,
- Review and analysis of estate planning documents,
- Analysis and evaluation of marital lifestyle,
- Analysis of short- and long-term potential outcomes of alternative settlement proposals on net worth and cash flow,
- Analysis of long-term needs and paying abilities in different post-divorce or post-separation contexts,
- Identification and analysis of tax planning opportunities and potential pitfalls,
- Participation in strategic planning or settlement conferences,
- Testimony as an expert witness in court and
- Assisting in post-divorce or post-separation transfers of assets, changes of beneficiaries, trustees or owners of wills, trusts, retirement plans and life insurance policies and execution of QDROs.