Thursday, July 8, 2021

How Much Does Divorce Cost?

 
This is a question without a simple answer because there are many variables, so I'll break them down for you in two categories:  1) costs you are almost certain to incur and 2) optional additional costs (such as hiring an attorney).

Costs You are Almost Certain to Incur

Filing fee for Petition for Dissolution of Marriage:  $230.00 
Filing fee for Response to Petition for Dissolution of Marriage:  $116.00 
Service of Process by Sheriff:  $35.00
Mediation ($75/hour, two-hour minimum requirement):  $150.00 

That's it.  #Divorce is inexpensive.  It's the fighting that costs so much.  

Here are the optional costs you might incur based on how much you and the ex engage in litigation.

Optional Additional Costs*

Attorney fees:  Variable but at least $5,000 for initial retainer and likely over $20,000 in total.
    Attorneys charge by the hour in .10-hour increments, meaning if you hire an attorney at $300/hour, a 6-minute phone call will cost you $30.  This adds up quickly depending on how much you use the attorney. Attorneys can't quote flat fees because they'd inevitably lose money.  Charging by the hour incentivizes people to settle their cases (when funds run low).  
    Attorneys charge around $300 an hour on average.  Associate attorneys (the less experienced ones at the firm) charge less than partners, usually $200 per hour.  Paralegals charge less than associates, usually about $150 per hour.  Make sure you ask for the costs of all those who will touch your case and pay attention to who is doing the bulk of the work (ensure attorneys are delegating less specialized tasks to support staff or paralegals).  Also, note that many attorneys increase their rate for their "trial fee."
    Most firms have you start with a $5,000 retainer, and it is almost certain you'll end up replenishing this before you get to mediation.  You've probably already found that if you Google "how much does divorce cost" you'll get several figures that various websites tell you are the average.  That number means nothing to you because your case is unique.  I have seen cases where clients did not spend their entire initial $5,000 retainer, and others where parties spent well over $100,000.    
    While you cannot control how much your ex will fight (thus potentially causing you to incur more costs), you can control how much you engage in the fight and how often you contact your attorney team.  
    My advice:  
  1. Keep emails and calls to your attorney to a minimum.   
  2. Choose your battles with the ex and accept that you cannot win on every issue.
  3. Discuss your reasonably ideal budget with your attorney and gauge the attorney's reaction.  Don't be afraid to ask the attorney for their best estimate of your total costs based on what they know about your case at the beginning.
  4. Look into unbundled services (limited representation), which can help keep costs lower because you utilize the attorney's services only where needed and you do much of the foot work yourself. 

Experts:   
  • Child and Family Investigator:  $3,250.  This cost is capped at $2,750 plus $500 trial fee.  Some CFIs charge more than the cap by getting parties to agree in a contract to the higher fees.  If costs are a concern, find a CFI that sticks to the cap.
  • Parental Responsibilities Evaluator$20,000.  This is an expert who, like a CFI, makes recommendations to the court regarding parenting time but is also able to conduct mental health evaluations.
  • Substance Abuse Evaluator$5,000.  This expert determines whether one spouse abuses substances.
  • Real Estate Appraiser$500.  You can avoid this cost if you agree to sell the house and split the proceeds 50/50, or stipulate to the Zillow valuation.
  • Vocational Evaluator:$6,000.  This expert comes in to play when one spouse argues the other spouse is capable of earning more money.
  • Business Valuation Expert:  This expert values businesses owned by a spouse.
  • Private Mediator$7,000.  Many attorneys prefer private mediators to the court mediators, and they do tend to get cases resolved more often.  Private mediators charge $300 per hour and up, and these mediations may go all day and into the evening.  Private mediators make themselves available to continue negotiations after the mediation session in cases where parties are close to resolution, and continue to charge by the hour for their time.
  • Private Process Server:  $200.  If your ex avoids service of process you may end up spending money just to track him down or stake out their home.  
  • Private Judge:  $30,000.  Some parties opt to hire a private judge (who is a retired judge working privately) rather than stay with the judge in which their case was assigned.  This may be because they don't like the judge they were assigned to or they want to take the case to trial sooner.  This judge shopping is a luxury most cannot afford.  Private judges charge around $400 per hour and will want to manage the case during litigation and review documents in advance of trial so you're paying more than just a trial fee.

E-filing fees:  $500
    If you opt to e-file or hire an attorney, you will be paying a $12.00 submission fee for every document e-filed in addition to the court filing fees attached to the document type.  Attorneys are required to e-file so you do not have the option of directing them not to.  

Copies and Postage:  $1,000
    While these costs may seem nominal, they add up quickly, especially in times of trial preparation when attorneys are required to bring four exhibit notebooks to Court full of hundreds of pages of exhibits.  At $0.20 a page, this cost can sneak up on you.  You must serve the other party with every document you file with the Court, and submit disclosures to the other party, so postage can add up quickly too.

Therapy:  $5,000
    Many parties to divorce find themselves needing professional mental help to get through this process.  You may end up putting your children in therapy to help them cope with the divorce as well.

Witness fees:  $30.00.  
    When you subpoena a witness to court, you have to pay their mileage cost for the miles they must drive to and from the courthouse, and send the check with the subpoena.

This list is not all-inclusive and there could be other fees that apply to your case that are not listed here.  This is a list of the most likely fees and costs you could incur in a divorce.

It is not surprising that with all these costs, 75% of family law cases every year in Colorado are filed by self-represented parties.  Whether you go it alone or hire an attorney, be sure to order Family Law Boot Camp to help you understand the process every step of the way.  


*All costs quoted are estimates and are not guaranteed to be the cost you are quoted.

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