A divorce is not just an emotional separation, but a financial one as well. In addition to higher living costs, you may be faced with various expenses associated with the divorce agreement itself. Being financially prepared and knowing what expenses to expect will help you cope better.
A divorce means that you will most likely have two residences rather than one since you will no longer be living with your ex-spouse. With two homes, you'll have two sets of groceries, utility bills, and housing costs to pay on the couple's income instead of just one. Earning power will see an immediate drop for both people, although it's true that one or both people may seek out additional employment in the future.
This is money payable to the less-privileged spouse if you've been married more than 10 years until they can be able to stand on their own feet. The law on alimony varies from state to state. The amount payable is determined by the financial circumstances of the less privileged spouse, such as age, income, and assets. Consult a divorce lawyer for clarity, as matters of alimony are fairly complex.
The person to pay and the amount payable will be determined using a complex formula that varies from state to state. Factors considered include how much time the partner spends with the child and their financial status. You will need to consult your divorce lawyer for this.
Debts & Assets
You need to distinguish between separate property and marital property. Only marital property which you acquired during your marriage will be divided.
Debt is also shared between spouses. If you have a joint account, you are liable for debts you incurred jointly. You may need to close any joint account as soon as possible. The other party's inability to pay can also affect your credit score. In some States, you could be held liable for your spouse's separate debt, even if the account is in his or her name.
Depending on the process you choose, whether mediation, collaboration, or litigation, you may need to hire a divorce lawyer, a mediator, or a divorce financial planner. Beyond the divorce, there may be accompanying cases related to child support and redistribution of assets.
Divorce will seriously affect your finances. Your living expenses, debt, and other expenses related to the divorce process could see your financial power decline overnight. Depending on the divorce process you choose, you are advised to seek professional legal help.
Contact a law office like Sylkatis Law for more information and assistance.Share