A Certified Divorce Financial Analyst (CDFA®) is a financial professional who has earned a designation from the Institute for Divorce Financial Analysts that focuses on the money side of divorce. The work involves valuing assets, separating marital from non-marital property, and modeling settlement options over time. A CDFA is not an attorney and does not give legal advice.
I hold the credential, so I will explain it the way I would to someone sitting across from me, including what it does not mean.
What a CDFA does
The work is arithmetic and explanation. It is meant to give you a clear picture of the money before decisions become permanent. In practice that usually includes:
- Finding and valuing everything, including the assets that are easy to overlook: stock compensation, deferred pay, business interests, and pensions.
- Separating marital from non-marital property, so the conversation starts from the right number. How property is classified depends on your state and your facts, and that determination belongs to your attorney.
- Modeling settlement options over time. What each option may look like in five, ten and twenty years, not only on the day it is signed.
- Working out what your life costs, before anyone asks you to agree to a figure.
- Explaining the documents in front of you in plain language, until they make sense.
How it differs from an attorney, and from a financial planner
Your attorney is responsible for the law: your rights, the filings, the negotiation, and the agreement itself. A CDFA is responsible for the numbers underneath it. I am not an attorney, I do not give legal advice, and you will keep your own attorney while we work together.
A general financial planner usually builds an ongoing plan around your savings, goals and investments. Divorce financial analysis is narrower and has an end point: what is being divided, what each option may mean for you, and whether the proposal in front of you holds up. Some professionals hold both credentials, as I do. The Summerhill Firm does not give investment advice or manage assets.
A CDFA is not required to be involved in a divorce, and holding the credential does not make someone the right fit for you. Ask any professional how they would explain your numbers, not only which letters follow their name.
When it is worth a conversation
It may be worth talking to someone if any of these sound like you:
- One of you handled the finances for most of the marriage, and it was not you.
- There is a business, a professional practice, or compensation that is not a salary.
- Most of what you own is in retirement accounts, property, or equity rather than cash.
- You would like to understand your options before you are asked to decide.
- You want a clear picture of what life will cost next year, and in the years after.
- You have not filed, and the finances are the reason you have not decided.
The page Do you need a divorce financial consultant? goes into these situations in more detail.
How the credential is earned
The Certified Divorce Financial Analyst designation is issued by the Institute for Divorce Financial Analysts (IDFA). IDFA states that candidates need a bachelor's degree and three years of relevant on-the-job experience, or five years of relevant experience without a degree, and that they become CDFA professionals by passing a certification examination. Holders also complete continuing education to keep the designation.
These requirements are set by IDFA and can change, so check institutedfa.com for the current rules. A credential describes training and an examination completed. It is not an endorsement by any regulator, and it does not predict how any particular matter will turn out.
What it costs
Divorce financial consulting with me is fee-only. The fee is the only compensation I receive: no commissions, and nothing tied to how your divorce turns out. The first conversation is complimentary and confidential, so you can ask about fees in it before you commit to anything at all.
Frequently asked questions
Will I still need an attorney?
Yes. I am not an attorney and I do not give legal advice, so you will keep your own and I will work alongside them. Many people come to me before that first legal meeting because they want the money questions answered first, which can make the time with an attorney more focused.
Does talking to a CDFA commit me to anything?
No. The first conversation is complimentary and confidential, and understanding the numbers does not commit you to a decision about your marriage, your attorney, or working with me.
Can this be done virtually across the United States?
Yes. I work with women across the United States, and consulting happens virtually, so where you live is not the deciding factor. If you have been searching for a Certified Divorce Financial Analyst near you, location matters less than you might expect for this kind of work.
What to do with this
If you are weighing whether to speak to someone, start with the questions you cannot yet answer about your own finances. Then read how the work runs, and the first conversation is complimentary whenever you are ready.
This is general education about a professional designation, not advice about your situation, and it is not legal, tax or investment advice. Requirements set by the Institute for Divorce Financial Analysts can change.
