Divorce is complicated. You not only have to determine the short-term implications of asset and debt division but also long-term effects like taxes and your economic recovery post-separation. A certified divorce financial analyst (CDFA) may be able to help California couples who are divorcing get a handle on their finances.
Understanding a certified divorce financial analyst
A CDFA is a professional who is trained and certified to help people during their divorce. They understand the financial aspects of divorce and can provide guidance on how to best divide assets and debts.
A CDFA can perform many different tasks during a divorce, but their main focus is guiding couples toward smart financial decisions. Their do things like:
• Determining the accurate value of your assets
• Identifying hidden assets
• Figuring out the best way to divide assets and debts
• Providing advice on how to improve your financial situation after divorce
• Determine how much spousal or child support should be paid
If your divorce is contentious and ends in court, a CDFA can testify as an expert witness. They would work closely with your attorney to prepare reports and exhibits for the judge and also give you recommendations on settlement options.
Qualifications for a CDFA
To be able to do all that, CDFAs go through intense training and must pass a rigorous certification exam. They are required to have a bachelor’s degree and three years of experience working in the financial industry. They must also complete a two-day CDFA training program and pass the Institute for Divorce Financial Analysts (IDFA) exam.
They are well versed in financial planning, divorce law, accounting and other related fields. Many CDFAs are also certified Ppblic accountants (CPAs), financial planners or attorneys. This combination of experience and training makes them uniquely qualified to help people through one of the most financially complex times in their lives – divorce.
While some people choose to go through the process of divorce without any professional help, others find that having a certified divorce financial analyst on their team can be invaluable. However, it’s important to remember that not every CDFA will be a good fit for every couple going through a divorce. If you are considering hiring one, it’s recommended to find someone who you can trust and feel comfortable working with.