How to guide clients through a divorce

Add the usual family pressures experienced at Christmas to the cost of living crisis and it is no surprise to find a lot of people marking the turn of the year with a determination to make new plans; often that involves taking the first tentative steps towards a divorce.

We owe it to clients facing one of life’s greatest challenges to take these simple but efficient and effective steps.

While January’s ‘Divorce Day’ is an urban myth, it is true to say that there are a number of new enquiries towards the end of the month and into February as people declutter the Christmas debris and finally have the available bandwidth to consider such a significant move. 

Once a decision has been made, it can be easy to become lost in the maelstrom of choices available. Good advice is paramount, and the right adviser – whether legal or financial – can distil those choices and make a world of difference to what comes next.

Instructed professionals might, therefore, wish to consider offering the following practical tips when advising separating couples:  

• ‘New year, new you’ is a frequent refrain at the turn of the year, but couples should not be lured into letting platitudes exert unnecessary pressure on them to get everything right at the first time of asking. Divorce and separation are not quick processes, nor are they usually the panacea for their problems. Even the most optimistic divorce could take the best part of a year to conclude.

• At some point, your client’s lawyer is going to ask for a summary of their assets, income and liabilities. Therefore, at an early stage the represented party should start thinking about their monthly budget, both in terms of short and long-term needs. This is an art, not a science and there is no binary solution, because every case is fact specific. You will want to help clients ensure that in the immediate aftermath of the separation they can meet their short-term household expenses and, looking ahead, maintain the costs of separate households. You will also be aware of a nascent industry of professional experts who specifically offer help with compiling budgets. Although it is preferable to be accurate, the rise in the cost of living means that household  expenses may look different a few months from now. 

Couples and their advisers should use this early period as an opportunity to carry out a financial stock-take.