.webp)
Inflation is affecting everything! Turn on any major news media in the U.S. today and there is a very high chance that you’ll hear about the current inflation crisis within an hour or two of listening. A sum of factors has all come together to produce the crisis. COVID-19 and the accompanying economic shutdowns, the stimulus packages, the Russia-Ukraine conflict, Biden’s sanctions against Russia, and others. We don’t know how inflation will clearly impact family law. But we can confidently say that most couples should be looking at reducing costs, mostly in the short term. Let’s look at reducing costs in a divorce to better fight the crisis effects. According to recently released numbers, the U.S. economy has just experienced its worst year-over-year inflation since 1981. From June 2021 to June 2022, the U.S. hasn’t seen this inflation level in over 40 years. The inflation isn’t uniformly spread around the economy; gasoline, meat, dairy products, and housing. These are just a few things that have increased in price at a rate even faster than the average. Gas prices, in particular, have seen a huge jump. In some areas, the scale has been over 50% on a yearly basis!
Tip #1 in Reducing Costs: Avoid Litigation at All Costs (Pardon the Pun)
When it comes to keeping costs down in a divorce, one piece of advice is as logical as avoiding litigation. When you litigate issues in divorce, you will pay higher professional fees, and court costs. Needless to say, these fees can soon build up. Before you know it you can be staring at a very large bill. If you’re trying to save just as many people in Maryland and across the U.S. are doing – you need to choose mediation or another option to litigation.
Tip #2 in Reducing Costs: Keep Dispute Resolution to a Minimum
If you choose mediation or another method, a piece of advice is to resolve your disputes as soon as possible. If you drag resolution out for too long, you will end up spending more money than you need. Sadly, in most cases, people prolong discussions, negotiations, and resolutions because of spite toward their partner. Break this trend if you want to cut costs.Even mediation can soon become costly if you take too much time. Time equates to money in mediation. So you need to be comfortable with some level of compromise on your disputes.
Tip #3 in Reducing Costs: Develop a Postnuptial Agreement (If Necessary)
Sometimes, a postnuptial agreement may be helpful if you don’t have a prenuptial agreement yet. A postnuptial agreement does the same purpose as that of a prenuptial. Timing is the only difference. This can cut costs by pre-noting property division. Depending on the case, the property division phase can be costly to resolve. A postnuptial agreement will avoid this issue.
Contact the Murphy Law Firm for More Information
These are just a few tips to reduce your cost in a divorce. If you’d like to learn more, reach out to The Murphy Law Firm today by calling 240-493-9116.
.png)
