A Certified Divorce Financial Analysts® (CDFA) professional is a financial professional skilled at analyzing data and providing expertise on the financial issues of divorce. The role of the CDFA® professional is to assist the client and his or her lawyer to understand how the decisions he or she makes today will impact the client’s financial future. A CDFA professional can take on many roles in the divorce process and assist with the following:

 

Financial Expertise and Strategy

CDFA professionals provide the client and lawyer with data analysis that shows the financial effect of any given settlement. They become part of the divorce team and provide support on financial issues such as:

  • Understanding the short- and long-term effects of dividing property.
  • Analyzing pensions and retirement plans.
  • Determining if the client can afford to keep the matrimonial home, and if not, what he or she can afford.
  • Recognizing the tax consequences of different settlement proposals.

 

Data Collection and Analysis

Much of a CDFA professional’s role is to collect the client’s financial data and perform analysis. CDFA professionals can help manage a client’s expectations of their financial future by presenting different scenarios and talking through the client’s budget and expenses. CDFA professionals are trained to:

  • Collect financial and expense data.
  • Help clients identify their future financial goals.
  • Develop a budget.
  • Set retirement objectives.
  • Identify what kind of lifestyle clients want and can afford.