Have you been delaying a financial agreement? We are here to help...

While it is appreciated that there may be good reason to delay resolution of financial issues, please be aware of how the delay could impact upon your future.

When parties separate, initial consideration focuses on the welfare of the children and how best to meet their housing needs. This sometimes means that parties’ maintain the status quo and put off finalising financial issues formally.

Careful consideration however, needs to be given as to how a delay will impact you personally. Be aware of the following:-

• Pensions – the value will continue to increase which means any delay may mean that you give up more of your pension at a later date than you would now. Also be aware of when a drawdown can take effect which would then reduce the asset value. This could then reduce the pension value available for sharing and your retirement income.
  
  
• Property – property values can increase or decrease. How should your interest be protected and what are the interim financial arrangements? Should your partner benefit if you are paying the mortgage and reducing the capital element of the mortgage.
  
  
• Inheritance/future capital – if either party receives capital then this would impact on a how much money you need to meet need and also increase the value of the assets.
  
  
• The impact of one party dying without the benefit of a financial order means that there is lack of clarity. What happens for example, if one party dies and they have left matrimonial assets to a third party?

If you are separating or divorcing, get advice at the outset so that you are aware of the impact of delay. If you have separated and have left financial matters as they were, get advice to address resolution and to protect your future.

Click here to contact one of our experienced Family Law Team for a free initial meeting.