A divorce is an emotionally, physically and psychologically taxing process, undermining that it can still pose a financial burden. However, the cost of ending a marriage depends on a lot of factors, these may be the severity of the case, or the method of divorce.
If you’re looking to have an idea of what a divorce may cost you, take as seat as we journey through together. This article will provide you with an overview of the costs you may incur pertaining a divorce, as we help you prepare for the financial implications of this life-changing event.
Factors Influencing Divorce Costs
As earlier seen in this article, the cost of a divorce is dependent on a few factors. Though it may range from a few hundreds of dollars to thousands, here the factors considered:
1. Method of divorce either contested, uncontested, mediation or collaborative.
2. Complexity of marital property that would be shared.
3. Child custody issues.
4. Location and local legal fees.
5. Need for divorce experts like advisors, child custody evaluators.
6. Duration of the divorce process.
However, it is important to understand that these factors can help you estimate costs you may incur during the process and make informed decisions about how to proceed with your divorce.
Types of Divorce and Associated Costs
The type of divorce a couple intends to undergo is what determines the cost of the divorce. Here is a breakdown of the various divorce types and their price ranges.
1. Do It Yourself (DIY) Divorce
The DIY divorce as it is popularly called ranges from $300 to $1,500 in total. To start with this DIY divorce type is one of the most budget friendly divorce types, it is ideal for couples that aim to undergo a simple and uncontested divorce process.
This form of divorce process includes court filing fees and the cost of online divorce forms. This method can really be cost efficient and can also be risky without legal guidance, in cases where there are complex marital properties to be shared or child custody issues.
2. Mediated Divorce
The mediated divorce type usually costs about $5,000 to $15,000. In this type of divorce there’s a need for the neutral third party to help the couples negotiate the divorce terms. However, during the divorce process mediators may charge $100 – $300 per hour.
The overall cost that may be incurred is totally dependent on the number of sessions that will be required to resolve any complexities. The mediated divorce type is less expensive compared to other divorce types and often leads to more amicable resolutions.
3. Collaborative Divorce
This type of divorce usually costs nothing less than $30,000 to $50,000. It is done by the means of a team, where each of the couples undergoing the divorce hires a collaborative lawyer and other required professional bodies like advisors or specialists.
This divorce method is no doubts more expensive than that of the DIY method or mediation. It is less costly compared to litigation, and allows for a more amicable resolution.
4. Litigated Divorce
A litigated divorce usually costs around $30,000 to $200,000. This form of divorce is the most expensive. Lawyer fees under this case operating on his form of divorce, usually costs from $250 to $500 per hour. It can also increase pending cases when the case goes to trial. There are other factors that can increase the cost which are the complexity of assets division, child custody related issues, and other issues.
Overview of Common Divorce Expenses
Asides the type or method of divorce, there are several other expenses that are prone to be incurred during the divorce process, they are:
Attorney Fees
Attorney fees consume a large portion of the divorce cost. The rates for attorney fees are subject to change based on location and experience, the cost ranges from $170 to $500 per hour.
Filing Fees
The filing fee is dependent on the state and county, it usually ranges from $100 to $500. During the divorce process, other court fees may be included for serving divorce papers, motion filings, or obtaining copies of the documents.
Mediation Costs
This applies to couples Intending to undergo the mediation form of divorce. Mediation costs between $100 – $300 per hour. This multiplied by the number of sessions you’ll undergo mediation, in most cases 3-8 sessions.
Expert Witnesses and Consultants
Couples with very complex divorces in most cases may require the input of expert witnesses or consultant, they cost:
– Financial advisors: $180 – $400 hourly.
– Child custody evaluators: $2,000 – $6,000.
– Forensic accountants: $200 – $400 hourly.
– Real estate appraisers: $300 – $800 per property.
Hidden Costs of Divorce
This cost goes beyond direct legal expenses, divorce can incur various hidden costs:
- Separate Living Expenses.
- Tax Implications.
- Insurance Changes.
- Retirement Account Division.
- Post-Divorce Modifications.
Strategies to Reduce Divorce Costs
Irrespective of the outrageous financial impact of divorce, there are also ways couples can minimize costs. Here are helpful strategies for you:
1. Strive for an amicable, cooperative divorce process and then make use of the DIY divorce process.
2. Do well to consider using a mediator for your divorce process or a collaborative divorce instead of litigation which is the most expensive.
3. Make sure to have all your financial documents before meeting with attorneys.
4. Prepare questions you intend to ask your attorney beforehand so as to use your time with the attorney efficiently and save more money.
5. Do well to research online divorce services for simple, uncontested divorce types.
7. Be willing to compromise on minor issues to avoid prolonged disputes.
Final Thoughts
The financial impact of divorce can be an overwhelming one considering numerous factors, ranging from the intensity of the case to the type of divorce the couple aim to undergo. However, this financial impact can be a significant one, it is important that one understands the potential expenses you may incur during the divorce process and make use of helpful cost management strategies to cushion the impact.
Always remember that the cheapest option isn’t always the best for the divorce, it is important to invest properly into legal guidance and counseling. After gaining full knowledge of what should be expected during a divorce process cost-wise, you can now approach your divorce with a better understanding, make more informed decisions and plan properly. By this you can navigate the complexities that come with the process more effectively.
