Hidden Costs Of Divorce – Divorce is expensive and the costs are a lot more than what people expect. There are many hidden fees, some easily quantifiable and others that require a bit more analysis. We have a list of items that are usually missing when you calculate how much you will pay to breakup with your spouse.
Actually, when you consider these, you may even change your mind and decide to take additional steps to save your marriage.
Taxes can be a huge hidden cost of divorce. You could be liable for taxes after a divorce that you didn’t bargain for, such as the capital gains tax if you got the marital home and then you sell it soon after your divorce. If you are planning to sell the house soon after the divorce, it is something you need to negotiate with your ex: who will pay the capital gains tax?
Legal fees: Sure you pay your attorney are retainer and you think that is just for writing motions and going to court but it isn’t. There are other hidden costs such as telephone calls, photocopying, stamps, messenger services, postal expenses, stenographers, transportation (some attorneys charge for travel costs) copy paper, faxes, appraisers, experts witnesses, and so on. Technically, you even pay for the attorney’s “thinking time” because he or she has to think before she acts on your behalf.
Living expenses: Now that you have only one income, expect just about everything to be more expensive from commuting costs, to rent/mortgages to food. Also, now that you are divorced, you will probably need to hire more help with babysitting; you will need to spend more on the kids between the two of you because now that the kids have two homes, they need two beds, two sets of dishes, maybe even two sets of wardrobes. These are big time hidden costs.
Emotional costs: Of course, you can’t quantify the emotional cost of divorce but it is one of the hidden costs and it does have a value. Actually, one way to quantify it is to calculate how much you end up spending on shrinks, alcohol, prescription drugs, vacations and other coping mechanisms to see what the hidden cost of your divorce actually is. It is a wrong assessment that you “can’t quantify the emotional cost of this breakup.”