When you are trying to decide if you are going to get a divorce, you need to start doing some planning so that you can have an idea of how the property division process of the divorce will work. Colorado is an equitable distribution state, so you can’t count on the court dividing everything exactly in half. Instead, the court divides things according to what is equitable, or fair.
One factor that you must consider after a divorce is that the assets that you divide might not have the liquidity you need, which can sometimes mean that you are without actual income or easy-to-access funds that you might need. For example, you might not have the income or means necessary to care for the marital home if you were awarded that asset instead of liquid assets.
When you are making plans for the divorce, you also need to consider factors like child support and alimony. These can make a big impact on the divorce settlement. You have to consider how long these payments will be made. For example, child support would be until the child turns a specific age. Alimony can be for a set term, such as two to five years.
Another factor to consider is whether you are going to have the court decide who gets what or if you are going to try to go through mediation so you and your ex can come to an agreement. Mediation is usually faster and often less expensive, but you have to make sure that you fully understand the terms before agreeing to them.
Source: Chicago Tribune, “Divorce is another life event that requires careful planning,” Jill Schlesinger, Tribune Content Agency, Feb. 24, 2016