As a new semester of college begins today for my daughter, it felt appropriate to address how divorce mediation can help co-parents figure out payment for higher education for their children. Navigating college expenses can be a complex and emotional process. This is especially true during a divorce. It is helpful to address this issue in your divorce agreement in some way, no matter how old your children are when you get divorced. During the process of divorce mediation, the divorce mediator at Westfield Mediation can help you and your co-parent discuss and agree upon a plan, so you will know what to expect when the time comes. If you have no plan, then you risk the possibility of having to pay more than you budgeted for in your mind and bank account.
A divorce mediator is a neutral third party who facilitates communication between you and your co-parent. While the mediator remains neutral and does not make decisions for you regarding payment of post-secondary education costs, the mediator can give examples of what other co-parents have done or not done.
Some critical points to consider for post-secondary education costs include expenses, payment, financial aid, student role and savings accounts. Often co-parents choose to contribute a certain dollar amount or a percentage of total cost of post-secondary education expenses. You can cap the overall expense at a certain amount, such as the cost of attending the state university or community college. Perhaps you agree that there is no cap. It is helpful to spell out what the post-secondary expenses are beyond tuition. You can determine if room and board, books, transportation, fees, etc., will be included in the shared financial responsibility. Some co-parents expect their child to contribute financially to their education. Some students are more motivated to attend all classes and try their hardest when they have to pay for some of it. It is common to agree that all loans, scholarships, student aid, etc., available to each child will be sought and will be applied. If you have existing college savings plans, like a 529 plan, you can address how the funds in the account as of the date of divorce will be used. If co-parents plan to continue to contribute to a plan, it is helpful to establish how much each co-parent will contribute each month/year.
Once you have discussed all the details and reached a consensus, the mediator will incorporate the information into your agreement, called a Memorandum of Understanding. A Memorandum of Understanding is a written document that reflects all of the decisions you reached in mediation regarding your divorce. Having a clear, written plan prevents future misunderstandings and costly disputes. If the issue is not addressed in the original divorce agreement, you may have to go back to court years later, which can be a difficult and contentious process.
By using a divorce mediator, you are not just creating a financial plan for your child’s post-secondary education; you are laying the groundwork for cooperative co-parenting and ensuring your child’s educational future is secure. You will know what is expected of you and can plan accordingly.
