Category: Spousal Support

Divorce Law LA blog posts about spousal support.

Categories
Divorce Family Law Spousal Support

Alimony / Spousal Support in California

Alimony, also known as “spousal support,” is one of the last aspects of a divorce to be decided, often falling behind child support and custody and marital property division, but it is just as important.

What is Alimony / Spousal Support?

Alimony, often called “spousal support” is when one spouse pays the other in order to help that spouse maintain the same financial standing as was experienced during the marriage. A court will require the higher earning spouse to assist the lower in maintaining that standard of lifestyle that was achieved during the marriage.

Awarding Spousal Support

In California a judge can award temporary (“pendente lite”) support either during the divorce proceedings, or when the divorce is declared final. Typically these payments are made from one spouse to the other in a specified amount for a predetermined period of time. But support can also be paid in a single lump-sum payment. In collaborative process divorce agreements, spouses often come to agreement on the terms and conditions of support payments. As long as this agreement meets legal requirements, a court will uphold an agreement. This is the case even if the agreement provides for a complete waiver of support to the lower-earning spouse.

Duration of Spousal Support

In California, the duration of spousal support agreements are often tied to the length of the marriage. A general rule of thumb is that for a marriage of less than 10 years, a court will not order support payments be made for longer than half the length of the marriage. But if a marriage has lasted 10 years or longer, a court typically will not set a definite termination date for support. Both spouses are able to request modifications to the spousal support agreement indefinitely, unless a termination date has specifically been agreed, or if the court expressly terminates the support at a later hearing.

Awarding Permanent Support

Sometimes support is labeled “permanent” support, but the actual awarding of permanent support lasting for the remainder of a lifetime is increasingly rare, even for marriages that last over 10 years. Family law courts in California tend to require a spouse seeking support to make an effort to become self-supporting. A spouse that makes claims that they are unable to work, or unable to become fully employed, is required to support the claim with evidence. Often times this means having a  vocational evaluation. And for long term support orders, the support often gradually reduces over time by a nominal amount. Permanent support is usually only awarded to spouses that are unable to become self-supporting due to age or disability.

When You Might Consider a Lawyer for Personal Injury Claims

Calculation of Spousal Support

California law rules that the purpose of awarding temporary spousal support is for preserving the financial status quo, or “standard of living during the marriage” to the greatest extent possible. After a court evaluates and considers the needs of the spouse requesting the support, as well as the ability of the other spouses ability to pay, it can order the temporary spousal support in any amount. Typically, a court will use a common formula for calculating temporary support. One example of this formula is the Santa Clara County formula. This formula comes up with a figure through subtracting 50% of the lower-earner’s net income from 40% of the higher earner’s, and then makes adjustments for tax consequences and child support payments. The California Department of Child Support provides a support calculator for parents of dependent children looking to get a rough estimate of what temporary spousal support payments might look like along with child support payments. A family law attorney will also be able to provide you with a rough idea of what your payments will look like.

Standard of Living

Spousal support’s main purpose is to assist a supported spouse in maintaining a standard of living that was close to that which was attained during the marriage. But the goal is for the spouse receiving the payments to eventually become self-supporting to the greatest extent possible. A court will take the following into account:

  • marketable skills of the supported spouse,
  • job market for those skills,
  • any time or expense the supported spouse will need to acquire education or training for employment or enhanced employability, and
  • the extent to which periods of unemployment (due to domestic duties) during the marriage have impaired the supported spouse’s present or future earning capacity.

The court will also consider any other factors, including:

  • extent to which the supported spouse contributed to the other spouse’s attainment of education, training, professional licensing or career advancement (this can also mean the extent to which the supported spouse provided and maintained home life while the other spouse was advancing his or her career)
  • ability of the supporting spouse to pay support. A court will take into account earning capacity, earned and unearned income, assets, and standard of living,
  • needs of each party based on what the marital standard of living was,
  • each spouse’s obligations and assets, including separate property,
  • duration of the marriage,
  • ability of a spouse who is also a custodial parent to engage in employment without interfering with the interests of dependent children,
  • each spouse’s age and health,
  • documented history of domestic violence by either spouse*,
  • immediate and specific tax consequences to each spouse (often times tax agreements are figured out during the awarding of spousal support and child support agreements),
  • balance of the hardships to each spouse, and
  • the goal that the supported spouse will be self-supporting within a reasonable period of time. This follows a general rule of thumb presumed to be one-half the length of a marriage (unless the marriage was longer than 10 years).

*California courts do not ordinarily consider conduct when making spousal support determinations. But often times, a court will not award support to a spouse that has a proven history of violence toward the other spouse.

Modification or Termination of Spousal Support

Either spouse can request modification or termination of periodic payments due to a material change in circumstances, unless it has been specified in the spousal support agreement. Absent a written agreement stating otherwise, spousal support terminates on the death of either spouse, or on the remarriage of the recipient.

Cohabitation

Cohabitation is an arrangement where two people who are not married live together in an emotionally and/or sexually intimate relationship on a long-term or permanent basis. Typically, this term refers to unmarried couples who live together without formally registering their relation as a marriage. This type of arrangement can affect a spousal support agreement, as it is often deemed that a person living with a new partner has a reduced need for support.

Depending on your state:

• Your spousal support can be reduced or terminated upon cohabitation only if the cohabitation significantly decreases a recipient’s need for support.

• Your spousal support will be terminated regardless of whether the recipient’s economic need is diminished by cohabiting.

• Your spousal support will not be affected should the recipient of the support begin living with someone else.

You’ll want to work with a family law attorney in your state to ensure you understand the rules about cohabitation and spousal support payments.

Tax Effects

Periodic spousal support payments are typically taxable for the recipient and tax-deductible by the payer. During a divorce agreement couples often create their own settlement agreements to take advantage of this situation. Payments are structured to create the best possible tax scenario for both spouses. If there are children involved in the divorce, child support payments and their tax exemptions are also considered to ensure that both spouses receive the best tax benefits possible. There are usually no tax consequences for single lump-sum support payments.

Spousal Support Help

Working with a family law attorney can help you understand the process of awarding and receiving spousal support. Many of the laws are specific to the state you will be divorcing in, so it’s important you work with a lawyer that is knowledgeable about your state’s laws.

A Family Law Attorney

But when it comes to the actual legal process of a divorce, you’ll want to work with a skilled family law attorney There are a number of things that need to be considered during a divorce: child support, spousal support, marital property division, and other things. Working with a skilled attorney can help ensure you get a fair case.  For advice on divorce, child custody determinations, setting up a co-parenting agreement, dividing marital property, and spousal support you need the expert law firm of Divorce Law LA. Schedule a consultation today.

 

Divorce Law LA, Esq.

Divorce Law LA

33 S. Catalina Ave. Ste. 202

Pasadena, Ca. 91106

(626) 478-3550

https://bestdivorcelawyer.co

Categories
Child Custody Child Support Child Visitation Divorce Family Law High Net-Worth Divorce Marital Property Division Spousal Support

Financial Freedom After Divorce

Divorce is scary to face. A million questions will be asked before any answers are found. You will need to start a new life, and the tolls of that will not only be emotional, but also financial. Regardless of if you are receiving child support and alimony, or paying child support and alimony, you will need to learn what it means to be on your own.

Luckily, others have gone before you an can advise you on how to get through this tough time. While family and friends are great for support, they are not the ones to talk to about your financial future. You’ll want to consult with professionals familiar with re-structuring finances after divorces.

Advise from Financial Professionals

As you move forward in your new life there will be a number of things you need to change: weekend schedules if you have children, perhaps addresses, maybe even your employer if you have to go back to work or get a higher paying job. There are going to be a number of unanswered questions. You don’t have to answer them all immediately, but chances are, you’ll need to answer them sooner rather than later. Here are some things to consider when it comes to your finances after divorce.

Figure Out a Budget 
You might not have been the spouse in charge of the finances before. Now that you’re on your own, you’re going to have to be. This can be difficult if you’ve never taken care of a checking account. According to certified divorce financial analyst Eva Sachs, the first step toward financial independence is balancing your income with your expenses. So how do you do that? she advises that you sit down and figure out how much money is coming in (this will vary depending on what side of alimony and child support payments you’re on). After you figure this out you’ll need to assess how much of what is coming in is being spent on living expenses.

money and divorce

“Think of it as a spending plan rather than a budget,” says Sachs. “Knowing where your money goes is key, especially after divorce. There will be many new expenses you might not have thought about prior to your divorce; this is a critical time to refrain from spending money you don’t have.”

It might be helpful to write everything down until you have a clear picture. This will give you an up-close look at your financial habits. If you’ve never done this before, this might be a shock. It’s good to know where you can tighten up, or loosen up so that you can budget accordingly.

Change Your Beneficiaries and Will
Emily McBurney, an attorney and qualified domestic relations orders (QDRO) expert, says that somewhere at the top of your to-do list should be updating the beneficiary on your life insurance and retirement accounts.

“Review all of your accounts and insurance policies and change the beneficiaries. A divorce does not automatically terminate your former spouse’s rights to be the beneficiary on your retirement plans, bank accounts, and life insurance policies –- even though your divorce decree might say that your former spouse has waived all rights to the benefits,” she says. “You will need to formally submit a change of beneficiary form to each financial institution. Otherwise, the benefit will be paid to whoever is listed on their forms at the time of your death — regardless of your divorce.”

In addition to this, you’ll also want to revise your will, according to certified divorce financial analyst Donna Cheswick.

“Meet with an estate planning attorney to discuss your state’s laws regarding possible updates to your will, power of attorney and advanced directives,” she advises. “You want to be sure that your former spouse is no longer entitled to any distribution in the event of your death. And if your settlement agreement requires one party to maintain life insurance on the other, then there needs to be a method in place to be sure this is actually occurring. Just because the former spouse says they will do something, doesn’t mean that they are following through.”

During your marriage it made obvious sense that your spouse would be entitled to everything, but now, they are definitely not. You will need to check and then double check that all your financial and important paperwork is in your name and the names of the people that you designate, whether they be other family members or your children.

Rainy Day Fund

Now that you don’t have a spouse to lean on in times of trouble – loss of job, medical emergency, unplanned home expense – you’ll want to create your own rainy day fund. Any unexpected hits to your bank account will need to be covered by you and solely you. Protect yourself, says Sachs. She recommends creating an emergency fund you can continue adding to when you have the chance.

“An emergency fund should equal three to six months of your living expenses,” she says. “If you can swing it, I recommend six months because you’re now single and need an even bigger cushion if you are not able to work or an emergency occurs.”

Make Sure Assets Have Been Transferred

The papers are signed, your divorce is final, you can consider it over. Think again. According to Cheswick, the divorce may be finalized but your work isn’t really complete until you’ve ensured the assets awarded in the settlement have been distributed. Make sure all your t’s are crossed and i’s dotted before you skip along to singledom. Just because things have been agreed to in a settlement, that doesn’t necessarily mean they will automatically happen.

“I can’t tell you the number of people who will contact me months (and unfortunately even years) after their divorce is finalized and there are still outstanding items which have not been resolved,” Cheswick says. “Remember that the agreement is a legally binding contract that you both signed and agreed to uphold. If one party is failing to comply with the terms of the contract then the other party has every right to take steps to ensure their compliance including going back to court to have the agreement enforced.”

pasadena-collaborative-law-divorce-mediation-lawyer

 

Enlist a Professional

It might seem like another financial burden to use a certified divorce financial planner during your divorce. In addition to legal fees it can feel like yet another financial expense. But a financial planner can save you a lot of headaches while also setting you up for a bright financial future, according to McBurney.

“Most financial mistakes that people make during and after divorce could easily have been avoided if they had sought professional assistance,” she says. “Financial planners can help you figure out how to live within your new financial realities post-divorce and develop strategies for building back your financial security. And tax advisors and CPAs can help you avoid making expensive (and very common!) tax mistakes (related to things like asset transfers, retirement, spousal and child support).”

Retirement

Retirement can be a difficult thing to face during divorce. Chances are you imagined yourself and your spouse sitting on an amazing porch, sipping lemonade, and reminiscing about your children. Just because your spouse is no longer in the equation, that doesn’t mean that you need to abandon your dream retirement life. As Sachs advises, now that the divorce process is almost finalized, look to your future and start to maximize your retirement savings.

“Don’t let divorce stop you from planning for your future,” she says, “Investing in your 401K plan will allow you to save for retirement. You can begin by saving a small amount each week and then let it build slowly or make payroll contributions that match your employer contributions. Don’t stop thinking of the future!”

Just because your future plans have changed, that doesn’t mean it can’t be a bright one. Be smart about your finances and you’ll find the financial freedom you need to help you move on and start a new life.

Working with a Family Law Attorney

As with anything regarding your divorce: child support, spousal support, marital property division, child visitation, etc… you should consult a family law attorney. A lawyer from the expert law firm of Divorce Law LA will be able to guide you through the divorce process. The Divorce & Family Law Offices of Divorce Law LA will provide you with the highest level of expertise and professionalism from our skilled attorneys. Our Divorce and Family Law Practice spans a wide spectrum of areas that include: divorce, high net-worth divorce, marital property division, child custody and visitation, and child support.

Divorce Law LA

33 S. Catalina Ave. Ste. 202

Pasadena, Ca. 91106

(626) 478-3550

https://bestdivorcelawyer.co

Categories
Child Custody Child Support Child Visitation Collaborative Law Divorce Domestic Violence Family Law High Net-Worth Divorce Marital Property Division Mediation Spousal Support

Reasons for Divorce

Infidelity, falling out of love, financial reasons. These are all reasons for getting a divorce. But they aren’t the only ones.

Common Reasons for Divorce

Chances are you have a friend or family member that has gone through divorce. It’s not easy and there are many factors that contribute to the dissolution of a marriage. It can be any number of combinations of reasons that cause two people to say that’s it. Here are some common reasons:

Lack of communication. When you are unable to communicate with your partner, you create distance. This can be from lack of sharing feelings, or not keeping your partner in the loop about what’s happening with you emotionally. A successful relationship is one that has open lines of communication. Otherwise it can feel like nothing is ever resolved, and as if you aren’t even talking about why things can’t be resolved. Additionally, chances are you both feel as if something is being left unsaid. These feelings can multiply over time and become much larger than they were at the beginning. You might consider working with a relationship therapist to learn how to communicate effectively.

When You Might Consider a Lawyer for Personal Injury Claims

Financial Issues. Money, and lack of it, can lead to a lot of problems in relationships. Often times two people have very different mindsets when it comes to saving and spending. If you and your spouse are not in agreement when it comes to how to manage your money, it can cause a lot of problems. Sit down and have an open conversation about how you relate to money and what your goals are. You might find one spouse wants to save to buy a house or to go on a big vacation, while the other spouse would rather go out to dinner every night of the week and have a closet filled with amazing clothes. You might have different goals, and neither one is wrong. Try to find a middle ground. You might also want to speak with a financial adviser that can take a look at your financial situation and advise you on how to move forward based on your joint goals.

Feeling Held Back. When you first started dating your spouse you may have felt as if the sky was the limit, or maybe you felt like you needed to change yourself a little for him or her. Over the course of a marriage things can change. You might feel now as if your spouse and marriage are holding you back from achieving goals and taking opportunities. If you don’t feel supported by your spouse you can begin to feel as if you are being held back from really accomplishing what you want to during your lifetime. Try to get a clear-headed assessment. Are you really being held back? Or maybe it’s just how you are perceiving the situation. An open conversation might be the best place to start.

Trust. Trust is one of the leading factors in having a successful relationship and marriage. It can be impossible to achieve anything if you do not trust each other. Ask yourself if there’s a reason for the lack of trust. Was there an infidelity or past infidelities? Or are you just reading into things? Try to get a clear head about why there is not trust in your relationship. Maybe working with a relationship therapist can help you both deal with any trust issues.

Expectations. If you expected one thing at the beginning of the relationship and you aren’t getting it now, or your expectations have changed, you might find that you aren’t as happy in your relationship as you could be.

Your spouse doesn’t understand or fulfill your needs and desires. We all have different needs and wants that need to be met by the significant other in our lives. If you have a partner that doesn’t acknowledge your interests and desires then they won’t do what they can to fulfill your needs and wants.

Sudden Life Change. New changes happen at every moment in our lives. This can be the birth of a child, death of a parent, sudden job loss, a new opportunity for a job across the country. You will both need to be adaptable and know how to be supportive of each other. Life is unplanned, but you should be able to plan that your spouse will be there to support you whether its a good change or a difficult one.

Domestic Violence. If you’ve been in a situation, or are currently in a situation, where your partner has been abusive or controlling in any manner, you should consider seeking help. If need be, contact a trusted family, friend, or an attorney about this matter.

Uncommon Reasons for Divorce

wistful

There are common reasons for divorce, and then there are the uncommon ones like these:

Didn’t Like the Movie “Frozen.” After finding out that her husband “didn’t care for” the film “Frozen,” according to the U.K.’s Metro News, a Japanese woman divorced him, saying, “If you can’t understand what makes this movie great, there’s something wrong with you as a human being.”

Possessed by a Genie. After his wife refused to sleep with him, one Dubai man divorced his wife. Her family told him she was possessed by a “dijn,” a type of genie from Arabic mythology, according to Gulf News. Apparently, several religious experts had already attempted to exorcise the genie but were unsuccessful.

Broken Penis Extension. According to the U.K.’s Metro News, a Russian man got a penis prosthetic after finding out that his wife was unsatisfied in bed. When it fell off and he didn’t get a new one, his wife said she was fed up and wanted a divorce.

“Excessive and insatiable desire for sex.” An Indian man divorced his wife because she had an insatiable sex drive. In divorce course he said she had been “aggressive, stubborn and autocratic,” and had forced him to take medication to boost his sexual stamina. She also threatened to sleep with other men if he failed to satisfy her.

“Guantanamo.” A Saudi woman filed for divorce after she found out her husband had nicknamed her “Guantanamo” in his cellphone. According to Al Arabiya news, she discovered the unflattering nickname when she called his cellphone and realized he had left it at home. The man defended himself, saying the nickname was to protect the couple’s privacy. “I don’t want people sitting around me to know that this is my wife calling,” he said.

Parrot Spills the Beans. According to ABC News, a Chinese woman learned of her  husband’s infidelity from the couple’s pet parrot when he started  saying the words “divorce,” “I love you,” and “be patient.” She took the parrot with her to the divorce lawyer.

Too Many Cats. When people hate cats, they really hate cats. And when they love them, they really love them. Apparently, enough to give up their marriage.  According to the Times of Israel, a man divorced his wife after she brought home 550 cats. In court he said he was unable to sleep on the bed and unable to eat meals because the cats were always in the way or stealing his food. The woman refused to give up the cats so the husband decided to give up the marriage.

Cleaned Too Much. A German woman divorced her husband after 15 years of marriage. The reason? According to Reuters, it was because she couldn’t stand his constant cleaning. He constantly tidied and rearranged furniture. Sounds pretty tame… except for the time he tore down a wall in their home because he thought it was too dirty.

Kissed a horse. A man divorced his wife after eh found a photo of her on one of her social networks in which she was kissing a horse. He thought it was cheating. She thought it was crazy that he did. According to Emirates 24/7, the woman said she didn’t want to be with a man who thinks kissing a horse constitutes cheating.

Affair – 70 Years Earlier. An Italian couple ended their marriage in 2011 after the 99-year-old husband found love letters from the 1940s that had been written between his 96-year-old wife and her former flame.

Working with a Family Law Attorney

Whatever your reason is for divorce, whether it’s a common one, or a bizarre and uncommon one, you should consider working with a family law attorney. They will be able to advise you on any number of issues, including: child support, spousal support, marital property division, child visitation, etc… A lawyer from the expert law firm of Divorce Law LA will be able to guide you through the divorce process. The Divorce & Family Law Offices of Divorce Law LA will provide you with the highest level of expertise and professionalism from our skilled attorneys. Our Divorce and Family Law Practice spans a wide spectrum of areas that include: divorce, high net-worth divorce, marital property division, child custody and visitation, and child support.

Divorce Law LA

33 S. Catalina Ave. Ste. 202

Pasadena, Ca. 91106

(626) 478-3550

https://bestdivorcelawyer.co

Categories
Collaborative Law Divorce Family Law Marital Property Division Spousal Support

Stalling Divorce Because of Washington’s Health Care Indecision

As Washington works to figure out exactly what step will be coming in terms of the nation’s healthcare, couples are working to figure out what step comes in their marriages. According to financial planners and divorce attorneys throughout the nation, the health care uncertainty in Washington, D.C. is causing some separating couples to re-evaluate if now is the time for a divorce.

Stalling Divorce Because of Washington’s Health Care Indecision

Couples with pre-existing conditions are in limbo. When it comes to health care, according to Lili A. Vasileff, founder, and president of Divorce and Money Matters, “We don’t know what will be in place, what it will cost, and if you can even get it.” Until there’s an answer, some couples are choosing to stay married and instead draft a postnuptial agreement that leaves them legally together but clarifies the separation of assets and terms of possible future divorce proceedings. For other couples, the stall in Washington means finalizing divorce papers but holding off on actually sending them into courts to be processed. It used to be a common practice that though legal separation, couples were able to keep coverage for their spouses, even if they were not actually together. Most insurance companies stopped honoring this type of agreement, according to Andrew Vaughn, a Chicago divorce attorney and founder of NuVorce.

Congressional Republican leaders have been working to repeal and replace the Affordable Care Act (ACA). Under the ACA coverage was guaranteed for everyone on the individual market, regardless of how healthy or unhealthy they were. It also prohibited insurers from charging more to people with pre-existing conditions. Now that practice and the future of it is unclear.

Additionally, the cost of health insurance often factors into the calculation of alimony (also known as spousal support). In this uncertainty, attorneys are left to make their best estimate.

Divorce and Money

Divorce is scary to face. What can make the process even more overwhelming is determining what your financial situation will look like. In addition to child support and alimony, you will also need to determine how your property will be divided.

 

What State do you Live in?

State laws govern how the marital property will be divided. You will need to check with an attorney to see if you live in an equitable distribution state or a community property state.

What Counts as Property?

Property is anything that can be bought or sold, or anything that has a financial value. This includes: houses, cars, furniture, clothing, bank accounts, businesses, etc. Within that, there are two forms of property when it comes to a marriage: community property and separate property. Community property is anything earned or acquired during the course of the marriage. Separate property belongs to one spouse. States make their own determinations on what counts as separate property. A family law attorney would be able to help you determine what is “separate property” based on your state’s laws.

Other Considerations

There are four other steps that need to be considered when diving marital property:

  1. Identify the assets owned by you and your spouse
  2. Categorize all assets as marital or non-marital property
  3. A value will need to be assigned to the assets
  4. Devise a plan for the division of assets that is in accordance with state laws

No Fault Divorce Laws

18640254_s

Though most states separate the division of marital property from grounds for divorce due to no fault divorce laws, most states do consider any financial misconduct when it comes to dividing marital property. What this means is if you or your spouse has foolishly spent money then you or your spouse will most likely be penalized when it comes to dividing marital property.

Separate Join Financial Obligations

If you feel the division of marital assets might be a contentious point between you are your spouse, you might want to consider separating financial obligations prior to starting the divorce process. Marital property does not only mean furniture and household items, but also joint credit accounts. Each spouse should have access to a complete set of all financial documents. You’ll also want to close all joint credit card accounts. If you’re not able to fully separate the accounts, draft a formal written agreement outlining the activity on the remaining joint accounts. Freeze any investment assets – this will ensure neither spouse misuses funds until everything has been agreed upon. You might also want to consider changing the title on your home to read “tenants in common” until the final agreement regarding marital property has been decided upon.

In addition to figuring out marital property division, you’ll want to consult with professionals familiar with re-structuring finances after divorces.

The Rest of Your Financial Picture

As you move forward in your new life there will be a number of things you need to change: weekend schedules if you have children, perhaps addresses, maybe even your employer if you have to go back to work or get a higher paying job. There are going to be a number of unanswered questions. You don’t have to answer them all immediately, but chances are, you’ll need to answer them sooner rather than later. Here are some things to consider when it comes to your finances after divorce.

Figure Out a Budget 
You might not have been the spouse in charge of the finances before. Now that you’re on your own, you’re going to have to be. This can be difficult if you’ve never taken care of a checking account. According to certified divorce financial analyst Eva Sachs, the first step toward financial independence is balancing your income with your expenses. So how do you do that? she advises that you sit down and figure out how much money is coming in (this will vary depending on what side of alimony and child support payments you’re on). After you figure this out you’ll need to assess how much of what is coming in is being spent on living expenses.

“Think of it as a spending plan rather than a budget,” says Sachs. “Knowing where your money goes is key, especially after divorce. There will be many new expenses you might not have thought about prior to your divorce; this is a critical time to refrain from spending money you don’t have.”

It might be helpful to write everything down until you have a clear picture. This will give you an up-close look at your financial habits. If you’ve never done this before, this might be a shock. It’s good to know where you can tighten up, or loosen up so that you can budget accordingly.

Rainy Day Fund

Now that you don’t have a spouse to lean on in times of trouble – loss of job, medical emergency, unplanned home expense – you’ll want to create your own rainy day fund. Any unexpected hits to your bank account will need to be covered by you and solely you. Protect yourself, says Sachs. She recommends creating an emergency fund you can continue adding to when you have the chance.

“An emergency fund should equal three to six months of your living expenses,” she says. “If you can swing it, I recommend six months because you’re now single and need an even bigger cushion if you are not able to work or an emergency occurs.”

Make Sure Assets Have Been Transferred

The papers are signed, your divorce is final, you can consider it over. Think again. According to Cheswick, the divorce may be finalized but your work isn’t really complete until you’ve ensured the assets awarded in the settlement have been distributed. Make sure all your t’s are crossed and i’s dotted before you skip along to singledom. Just because things have been agreed to in a settlement, that doesn’t necessarily mean they will automatically happen.

“I can’t tell you the number of people who will contact me months (and unfortunately even years) after their divorce is finalized and there are still outstanding items which have not been resolved,” Cheswick says. “Remember that the agreement is a legally binding contract that you both signed and agreed to uphold. If one party is failing to comply with the terms of the contract then the other party has every right to take steps to ensure their compliance including going back to court to have the agreement enforced.”

pasadena-collaborative-law-divorce-mediation-lawyer

Enlist a Professional

It might seem like another financial burden to use a certified divorce financial planner during your divorce. In addition to legal fees it can feel like yet another financial expense. But a financial planner can save you a lot of headaches while also setting you up for a bright financial future, according to McBurney.

“Most financial mistakes that people make during and after divorce could easily have been avoided if they had sought professional assistance,” she says. “Financial planners can help you figure out how to live within your new financial realities post-divorce and develop strategies for building back your financial security. And tax advisors and CPAs can help you avoid making expensive (and very common!) tax mistakes (related to things like asset transfers, retirement, spousal and child support).”

Retirement

Retirement can be a difficult thing to face during divorce. Chances are you imagined yourself and your spouse sitting on an amazing porch, sipping lemonade, and reminiscing about your children. Just because your spouse is no longer in the equation, that doesn’t mean that you need to abandon your dream retirement life. As Sachs advises, now that the divorce process is almost finalized, look to your future and start to maximize your retirement savings.

“Don’t let divorce stop you from planning for your future,” she says, “Investing in your 401K plan will allow you to save for retirement. You can begin by saving a small amount each week and then let it build slowly or make payroll contributions that match your employer contributions. Don’t stop thinking of the future!”

Just because your future plans have changed, that doesn’t mean it can’t be a bright one. Be smart about your finances and you’ll find the financial freedom you need to help you move on and start a new life.

Working with a Family Law Attorney

As with anything regarding your divorce: child support, spousal support, marital property division, child visitation, etc… you should consult a family law attorney. A lawyer from the expert law firm of Divorce Law LA will be able to guide you through the divorce process. The Divorce & Family Law Offices of Divorce Law LA will provide you with the highest level of expertise and professionalism from our skilled attorneys. Our Divorce and Family Law Practice spans a wide spectrum of areas that include: divorce, high net-worth divorce, marital property division, child custody and visitation, and child support.

Divorce Law LA

33 S. Catalina Ave. Ste. 202

Pasadena, Ca. 91106

(626) 478-3550

https://bestdivorcelawyer.co

Categories
Child Support Paternity Spousal Support

50 Cent’s Child Support Issues

50 Cent is counting down the days until he can stop paying child support.

50 Cent’s Child Support Issues

The rapper recently took to Instagram, in a now-deleted post, to share a countdown of when the child support due to his eldest son is set to end.

“Man real life is gonna start Sooner then you think. Sad part is I wish you well, good. #Shanquagetsajob,” the rapper wrote, referencing his ex and his son Marquise’ mother, Shaniqua Tompkins.

Marquise Jackson, 18, quickly fired a note back at his estranged father, writing “Don’t worry I’ll make you proud! Just don’t forget to tell me happy birthday that day cause u missed a few.”

Marquise then posted image of himself clapping with the caption, “Around of applause for those who come for you when you don’t send for them.”

 

It appeared the star might have made attempts to mend the relationship with his son last year, but it appears that might not have worked out.

Child Support

Children, Sports, and the Increasing Number of Brain Injuries

Child support is a monthly payment that parents pay to help cover the costs associated with raising a child, such as education, health care, and after-school activity costs. Just as every child is different, the amount that needs to be paid is different and will be based on the child’s needs, in addition to the ability of the parent to pay, in addition to some set legal guidelines.

Typically, the custodial parent – the parent who cares for the child most of the time – receives the child support payments.  And the non-custodial parent – the parent that spends less parenting time – typically makes the payments. It is assumed that because the custodial parent is in legal charge most of the time, that they are already directly spending money on the child. A court is also able to order both parents to pay child support.

In cases where one parent makes more money than the other, such as in the case of Tomlinson and Jungwirth, it makes sense that Tomlinson will need to pay child support – his net worth is estimated to be $23 million.

Usually, child support is paid until the child turns 18, though there are some exceptions. Exceptions include: the child marries, joins the military, or becomes self-supporting. Other times, the support may continue until the child turns 19 if the child is still in high school and lives with a parent. Support can also be extended past the age of 19 if parents agree, or if the child is unable to become self-supporting due to a disability.

Child Support Guidelines in California

While each case will be considered separately and individually, the payment amount a parent must pay is based on California’s child support guidelines.

The guidelines follow a mathematical formula and are based on a number of factors, which we will discuss. You can calculate a rough amount by using California’s Guidelines Child Support Calculator. A court presumes that the amount given by the California’s Guidelines Child Support Calculator is appropriate, but because there are so many additional factors that can weigh into a child support decision, that amount can be unfair. Because of this, it’s advised that you work with a family law attorney that can help you get a fair amount.

In cases with special circumstances, where parents have different time-sharing arrangements than the typical, child support decisions can be difficult to determine. Examples of these special circumstances include: when the parents have equal time-sharing, but one parent has a much lower or higher percentage of income; where the child has special medical needs. In cases like these, a court will need to weigh all these special factors.

Parents are also able to pay more if it is agreed, and also agree for one spouse to pay less. Regardless of the decision, a court will need to approve the final amount. It’s important to note that a court will always take the child’s best interest into account. This factor will always play into the decision regarding a number of support payments, so if a couple decides to pay less, then the parents will also need to be able to prove the child’s needs will be met. Paying less support is not an option for parents who have applied for or receive public assistance. Instead, a parent who receives public assistance may agree to support payments that are at or above the amount provided by the guidelines. Additionally,  the local child support services agency must also agree to the lesser amount.

Calculating Child Support Payments

42028258_s

To calculate what a court will want you to pay in child support, you’ll first need both parents’ net disposable income. This is the difference between gross income and what counts as deductions for child support purposes. You can either consult the California Guideline Child Support Calculator User Guide or work with a family law attorney to determine what can be deducted.

Gross income is income from the following: salaries, commissions, unemployment, spousal support, and social security benefits. You might even need to include lottery winnings, depending on the amount. You are able to exclude child and spousal support payments actually paid and money from public assistance programs.

After determining gross income, deduct state and federal income taxes, mandatory union dues, and health insurance premiums, among other things. You can either consult the California Guideline Child Support Calculator User Guide or work with a family law attorney to determine what can be deducted.

You’ll also need to know the following:

  • number of children who need support
  • custody (time-share) arrangement
  • both parents’ tax liabilities
  • whether a parent is already supporting children from another relationship
  • child’s health insurance expenses
  • both parents’ mandatory retirement contributions and other job-related expenses, and
  • all other relevant costs (health care, day care, travel, etc)

Remember that a court will require either one or both parents to contribute to the child’s health care and child care. A court also has the discretion to require additional payment for the child’s education or special needs, as well as for a parent’s travel expenses for visiting the child.

Remember that after you have calculated your child support payment, that this is just an estimate until a court reviews it and approves it. A family law attorney is a great way to ease this process, as it can be overwhelming to calculate.

You Must Pay Child Support

Every parent that is ordered to pay child support, must do so. A parent that avoids paying by refusing to work or working less very rarely gets away with it. A court can “impute” income. This means that the court will look at factors like employment history, education, and training and come up with an amount of income that a parent should be earning.

Modifications to the Amount of Child Support

Even if a child support payment has been agreed to, it can be modified. This is usually only granted if there has been a significant change in financial or time-share circumstances.

Such circumstances include: job loss, increase in income, or a shift in how much parents are spending with the child. Other reasons include: when a parent has another child with a different partner or when a parent has an extended illness or goes to jail.

When a modification request is made, the court will consider both parents’ current financial situations and time-share. Sometimes when parent’s income has decreased, that parent’s child support payment goes up due to the time-share factor. Child support payments tend to increase when a parent’s percentage of time-share decreases. A court will need to recalculate time-share amounts in addition to the changes in income.

A Family Law Attorney

But when it comes to the actual legal process of determining child support and payment, you’ll want to work with a skilled family law attorney. There are a number of things that a family law attorney will be able to advise you on, including child support, spousal support, marital property division, and other things. Working with a skilled attorney can help ensure you get a fair case.  For advice on divorce, child custody determinations, setting up a co-parenting agreement, dividing marital property, and spousal support you need the expert law firm of Divorce Law LA. Schedule a consultation today.

Divorce Law LA, Esq.

Divorce Law LA

33 S. Catalina Ave. Ste. 202

Pasadena, Ca. 91106

(626) 478-3550

https://bestdivorcelawyer.co

Categories
Child Custody Child Support Child Visitation Divorce Family Law High Net-Worth Divorce Spousal Support

Ben and Jen are Finally Divorcing

Almost two years after originally announcing their divorce, it appears that Jennifer Garner and Ben Affleck have finally filed for divorce.

Ben and Jen are Finally Divorcing

The couple filed the divorce documents together, and are both seeking joint legal as well as physical custody of their children. The date of separation, as well as the division of property and any potential paying of spousal support, is still to be determined.

The couple announced their split in 2015, but have since then been seen together on many occasions. A source close to the couple recently said the couple is  “co-parenting the best they can.”

Affleck is still living in the guest house of their family home in Los Angeles.

“For now, they are all living together. One thing they agree on — the kids will stay at the family house. Jen and Ben will focus on making things as smoothly as possible for the kids. It’s all about what’s best for them,” said a source.

The Steps of the Divorce Process

Whatever your reason for considering divorce, there are set steps you will need to take to get divorced. Hence, we bring you a “how-to” for getting divorced.

Step 1: Decide How to Proceed18640254_s

How you begin your divorce will be dependent on the particulars of your marriage and your relationship. A divorce of a marriage where the spouses have been married for a short period of time, have no children, and little property or debts is typically less involved than a divorce where the couple has been married for a long period of time, shares minor children, or where there is significant property or debt to be divided. If both parties are seeking the divorce, the process will most likely be easier, versus a situation where one spouse is contesting the divorce.  You will need to take a look at your specific situation in order to best gauge how you want to proceed.

Step 2: The Divorce Petition 

To start the divorce process one of the spouses must file a divorce petition. Even if both spouses are in agreement, one of them must file a petition that states the grounds of the divorce with the court asking for the divorce. Grounds for the divorce vary from state to state. California is a no-fault state, meaning no fault is placed on either party regardless of infidelity, etc…  But all jurisdictions allow for some type of no-fault grounds such as “irreconcilable differences.” Some states will consider fault grounds for divorce, such as adultery or abandonment. A family law attorney will be able to advise you your state specific laws regarding grounds for divorce

Step 3: Temporary Orders 

If one spouse is seeking to receive financial support (as alimony) or custody of children, that spouse will need to ask the court for temporary orders for that support and custody. This temporary order is usually granted within a few days of the initial petition and will remain in effect until the full divorce court hearing. If the party seeking the temporary order is the same party who is filing the divorce petition, it’s advised that they file both the divorce petition and the temporary order at the same time. If you are not the party that filed the divorce petition, but are looking for support or child custody, you should file your request for that support as soon as possible.

Step 4: Proof of Service and Responding

Once a spouse files for divorce he or she also needs to file for a proof of service of process. This document proves that a copy of the divorce petition was given to the other party. Your family law attorney can help ensure this is done, or you can work with a process server. If both spouses have agreed to divorce, it’s usually the spouse that files the divorce that arranges for the the  service of process to the other party’s attorney.

When the service of process is received, that spouse needs to file a response to the divorce petition. In states where grounds for divorce can be filed, this response is where to address or dispute those grounds for divorce. Also, if the spouse receiving the petition has any disagreement with the put forth property division, support, custody terms, or any other issue, this should be added to the response.

Step 5: Negotiating

When two spouses are not in agreement on child custody and visitation, child support, property division and any spousal support, they will need to find a way to negotiate the terms of their divorce. Disagreeing spouses might consider working with a meditation lawyer, as it is in their best interest to work out as much as possible out of court. This will help to cut down on legal fees and time spent arguing. The negotiation process is the hardest part of the divorce process. As we all know from public divorce disputes, the negotiations can sometimes take years if a couple is not able to come to an agreement.

Step 6: Order of Dissolution

Once everything is decided upon an order of dissolution is created that outlines out how the property and debts are to be divided, what child custody and visitation schedule is, what support payments (spousal and child) need to be paid, and any other aspects that have been agreed on. If the spouses are able to negotiate their own resolution to all of these aspects, their lawyers will draft the order of dissolution and submit it to the court. If the Order of Dissolution complies with legal requirements and both parties entered into it knowingly and willingly and can attest to it, then the judge approves it. At this point, the divorce is finalized.

Final Step: Move Forward

32494725_s

A divorce can shatter your life if you let it. So don’t let it.

Every day you can move forward with a few small steps and a plan to succeed. Making small steps every day like the ones outlined below will change your post-divorce life.

Get Out of Survival Mode

 Are you just trying to survive?

It’s time to take your life back into your own hands. Here are some first steps to making that giant leap into your new life:

  • Wake up
  • Get yourself in the zone
  • Get yourself moving
  • Eat well
  • Get ready and inspired
  • Get perspective
  • Do something that will move you forward

Get Enough Sleep

Getting the right amount of sleep can help you have a longer life, increased creativity, memory, attention, and focus. It can help to lower stress and your risk for depression.

Find Clarity and Abundance

You need to focus on moving forward toward the positive things in your life. What you set your focus on expands. After waking up from a restful night’s sleep, prayer and meditation can help you orient yourself toward the positive.

Get Some Physical Activity

Regular exercise is can decrease your chance of depression, anxiety, and stress. It’s also been linked to higher success in people’s careers. Any form of exercise works: the gym, yard work, cleaning. Just get your body moving and every aspect of your life will thrive.

Eat/Drink 30 Grams of Protein

Eating protein first thing decreases cravings for white carbohydrates (the type of carbs that can make you fat. Food rich in protein will help you feel fuller for longer because they take longer for the body to digest. Protein also keeps blood-sugar levels steady, and thus prevents hunger spikes.

Take A Cold Shower

Cold water immersion has been shown to radically facilitate physical and mental wellness with regular practice. It not only changes your body’s immune, lymphatic, circulatory and digestive systems, but it can also increase weight-loss because it boosts your metabolism.

Those who do this report feeling an increase in willpower, creativity, motivation, and inspiration.

Listen to or Read Uplifting Content

Seek to learn and be educated. Some of the world’s most successful people read at least one book per week. You don’t eve have to read – you can listen to an audiobook. Even 15-30 minutes a morning of uplifting and instructive information can change you. Just think about how much that will amount to over time. And just consider the amount of knowledge and life-perspective  you will have gained.

Get Some Goals

Reviewing your goals  a few minutes a day can put your day into perspective. Chances are some things have changed after your divorce. Take some time to re-focus your energy on what you really want to accomplish.

Working with a Family Law Attorney

Whatever your reason is for divorce, you should consider working with a family law attorney. They will be able to advise you on any number of issues, including: child support, spousal support, marital property division, child visitation, etc… A lawyer from the expert law firm of Divorce Law LA will be able to guide you through the divorce process. The Divorce & Family Law Offices of Divorce Law LA will provide you with the highest level of expertise and professionalism from our skilled attorneys. Our Divorce and Family Law Practice spans a wide spectrum of areas that include: divorce, high net-worth divorce, marital property division, child custody and visitation, and child support.

Divorce Law LA

33 S. Catalina Ave. Ste. 202

Pasadena, Ca. 91106

(626) 478-3550

https://bestdivorcelawyer.co

Categories
Child Support Divorce Family Law Spousal Support

Meachem Goes to Jail for Failed Child Support Payments

Former NFL Saints receiver Robert Meachem has been thrown in jail for 30 days for failing to pay child support and alimony.

Meachem Goes to Jail for Failed Child Support Payments

Former receiver for the New Orleans Saints, Robert Meachem, 32, is $388,019 behind on the child support he owes for his two children. As a result, Meachem has received 30 days in jail. The judge added that Meachem can be released if he is able to come up with $100,000 of that.

The child support and alimony amounts were set when Meachem was divorced in 2014. At the time Meachem was still playing for the Saints and making an $855,000 salary. Meachem has not played a game for the NFL since 2014 despite attempts to get back into the league. It seems unlikely that Meachem, who turns 33 this year, will be able to return to the sport and to the paycheck he once made.

Child Support

Children, Sports, and the Increasing Number of Brain Injuries

Child support is a monthly payment that parents pay to help cover the costs associated with raising a child, such as education, health care, and after-school activity costs. Just as every child is different, the amount that needs to be paid is different, and will be based on the child’s needs, in addition to the ability of the parent to pay, in addition to some set legal guidelines.

Typically, the custodial parent – the parent who cares for the child most of the time – receives the child support payments.  And the non-custodial parent – the parent that spends less parenting time – typically makes the payments. It is assumed that because the custodial parent is in legal charge most of the time, that they are already directly spending money on the child. A court is also able to order both parents to pay child support.

In cases where one parent makes more money than the other, such as in the case of Tomlinson and Jungwirth, it makes sense that Tomlinson will need to pay child support – his net worth is estimated to be $23 million.

Usually, child support is paid until the child turns 18, though there are some exceptions. Exceptions include: the child marries, joins the military, or becomes self-supporting. Other times, the support may continue until the child turns 19 if the child is still in high school and lives with a parent. Support can also be extended past the age of 19 if parents agree, or if the child is unable to become self-supporting due to a disability.

Child Support Guidelines in California

While each case will be considered separately and individually, the payment amount a parent must pay is based on California’s child support guidelines.

The guidelines follow a mathematical formula and are based on a number of factors, which we will discuss. You can calculate a rough amount by using California’s Guidelines Child Support Calculator. A court presumes that the amount given by the California’s Guidelines Child Support Calculator is appropriate, but because there are so many additional factors that can weigh into a child support decision, that amount can be unfair. Because of this, it’s advised that you work with a family law attorney that can help you get a fair amount.

In cases with special circumstances, where parents have different time-sharing arrangements than the typical, child support decisions can be difficult to determine. Examples of these special circumstances include: when the parents have equal time-sharing, but one parent has a much lower or higher percentage of income; where the child has special medical needs. In cases like these, a court will need to weigh all these special factors.

Parents are also able to pay more, if it is agreed, and also agree for one spouse to pay less. Regardless of the decision, a court will need to approve the final amount. It’s important to note that a court will always take the child’s best interest into account. This factor will always play into the decision regarding the amount of support payments, so if a couple decides to pay less, then the parents will also need to be able to prove the child’s needs will be met. Paying less support is not an option for parents who have applied for or receive public assistance. Instead, a parent who receives public assistance may agree to support payments that are at or above the amount provided by the guidelines. Additionally,  the local child support services agency must also agree to the lesser amount.

Calculating Child Support Payments

42028258_s

To calculate what a court will want you to pay in child support, you’ll first need both parents’ net disposable income. This is the difference between gross income and what counts as deductions for child support purposes. You can either consult the California Guideline Child Support Calculator User Guide, or work with a family law attorney to determine what can be deducted.

Gross income is income from the following: salaries, commissions, unemployment, spousal support, and social security benefits. You might even need to include lottery winnings, depending on the amount. You are able to exclude child and spousal support payments actually paid and money from public assistance programs.

After determining gross income, deduct state and federal income taxes, mandatory union dues, and health insurance premiums, among other things. You can either consult the California Guideline Child Support Calculator User Guide, or work with a family law attorney to determine what can be deducted.

You’ll also need to know the following:

  • number of children who need support
  • custody (time-share) arrangement
  • both parents’ tax liabilities
  • whether a parent is already supporting children from another relationship
  • child’s health insurance expenses
  • both parents’ mandatory retirement contributions and other job-related expenses, and
  • all other relevant costs (health care, day care, travel, etc)

Remember that a court will require either one or both parents to contribute to the child’s health care and child care. A court also has the discretion to require  additional payment for the child’s education or special needs, as well as for a parent’s travel expenses for visiting the child.

Remember that after you have calculated your child support payment, that this is just an estimate until a court reviews it and approves it. A family law attorney is a great way to ease this process, as it can be overwhelming to calculate.

You Must Pay Child Support

Every parent that is ordered to pay child support, must do so. A parent that avoids paying by refusing to work or working less very rarely gets away with it. A court can “impute” income. This means that the court will look at factors like employment history, education, and training and come up with an amount of income that a parent should be earning.

Modifications to the Amount of Child Support

Even if a child support payment has been agreed to, it can be modified. This is usually only granted if there has been a significant change in financial or time-share circumstances.

Such circumstances include: job loss, increase in income, or a shift in how much parents are spending with the child. Other reasons include: when a parent has another child with a different partner or when a parent has an extended illness or goes to jail.

When a modification request is made, the court will consider both parents’ current financial situations and time-share. Sometimes when parent’s income has decreased, that parent’s child support payment goes up due to the time-share factor. Child support payments tend to increase when a parent’s percentage of time-share decreases. A court will need to recalculate time-share amounts in addition to the changes in income.

A Family Law Attorney

But when it comes to the actual legal process of determining child support and payment, you’ll want to work with a skilled family law attorney. There are a number of things that a family law attorney will be able to advise you on, including: child support, spousal support, marital property division, and other things. Working with a skilled attorney can help ensure you get a fair case.  For advice on divorce, child custody determinations, setting up a co-parenting agreement, dividing marital property, and spousal support you need the expert law firm of Divorce Law LA. Schedule a consultation today.

Divorce Law LA, Esq.

Divorce Law LA

33 S. Catalina Ave. Ste. 202

Pasadena, Ca. 91106

(626) 478-3550

https://bestdivorcelawyer.co

Categories
Child Custody Child Support Divorce Family Law High Net-Worth Divorce Marital Property Division Spousal Support

The Financial Side of Divorce

Divorce is difficult. You are both figuring out what your new lives will be once the divorce agreement is signed. One of the hardest aspects to resolve during divorce is the finances.

The Financial Side of Divorce

Mark Zandi, a chief economist at Moody’s Analytics, who has researched divorce and corresponding demographic trends has found, “Divorce generally results in a significant financial setback for all those involved.”

What used to feel like a joint effort between two people can turn into an all out war. Because of the potential to start World War III, there are things that you can do to prepare yourself for at least the financial aspect of the end of your marriage. Careful planning in advance can help you avoid getting to the battlegrounds unarmed.

Preparing Your Finances for Divorce

The first thing you want to do is create an inventory of all of your assets. This includes your debts too. You need to understand your families assets and liabilities. Have copies or at least access to tax returns, statements from all accounts, household bills and any other important records. Additionally, put together a list of valuable property that includes shared real estate, collectibles, furniture, and antiques or pieces of artwork.

You will want to put everything in writing, in a qualified domestic relations order, or QDRO. This is a legal document that spells out how you and your spouse have decided to divide certain retirement assets such as 401(k) accounts, says Page Harty, a financial planner at wealth-management firm SignatureFD.

It’s crucial that you do not overlook anything valuable. This could cost you significant amounts of money when it comes time to divide marital assets. There are often cases when a spouse will hide an asset from the other in an attempt to get more money or retain ownership of something they hold valuable. Sometimes this cannot be avoided, but sitting down, finding a clear head, and making a list of every asset you are aware of can help prevent this from happening to you (unless of course your spouse has never made you aware of the asset he or she is hiding).

Your shared debts are important too. Just because the marriage is ending, that does not mean that the debt will just go away. Try to pay these debts off before the divorce is finalized. If that’s not possible, make sure you have a clear agreement on which spouse will pay which debt.

house

 

The House

It’s tempting to want to keep the house. This is especially true for couples that have school-aged children. It can already feel as if you’re destroying their lives, let alone forcing them to move out of the house they used to feel so safe in. But remember that a house is a big expense, and one that might not be worth fighting for. It’s often advised that splitting couples sell the house and split the proceeds. This way, both parties share in the risk and cost that is associated with a selling a home, says financial planner, Matt Mikula.

Mikula shares this example of a client of his. The mother of four had been awarded custody of the couple’s four children in addition to the family’s $1.5 million home and $500,000 in other assets. Not wanting to disrupt her children’s lifestyle, she wanted to keep the house.

But taxes, utilities, maintenance and other expenses amounted to about $50,000 a year. The client had little other means, in terms of assets and income to cover those costs. As a result, according to Mikula, “she was going to run out of money.”

In the end, the client decided to sell the house. This was six years after the divorce, and due to economic reasons, she received 20% less than what it had been valued at during the time of the divorce.

Additional Expenses

Housing is a huge expense, but it’s not the only one. Other expenses will need to be taken care of, including how much your family spends on food, clothes, and other essentials, like health insurance, which according to financial planners, can be steep.

There are also the unknown expenses. Ms. Church, a financial adviser at Raymond James Financial shared this story. After her divorce, her daughter was invited to play on a volleyball team that traveled extensively. Suddenly she needed to come up with about $400 to $500 a month to cover the hotel rooms, meals and other expenses associated with her daughter playing on this team. Ms. Church says, “there will be unforeseen expenses.” Because of this, she advises her clients to be aggressive when they sit down and figure out their post-divorce cost of living. This is especially true if there are children involved. She also advises to include the impact of inflation.

Stop Seeking Revenge

It’s obvious from almost every tabloid story on divorce that divorce can get ugly when it comes to finances.

One key reminder to keep in mind: The less you spend, the more you keep.

What that translates to is: the more you argue about petty things, the more time you will spend, which automatically translates to the more money you will spend.

Regardless of how terrible the reason is for your divorce, try to remember that the more money that gets put towards the divorce is less money that will be available for the settlement.

Financial planner Rose Swanger has this example to share: Her client was married for more than 20 years to a surgeon that earned a seven-figure income. He had cheated on her, and as a result, the two were divorcing. The woman was seeking $300,000 a year in alimony. According to Swanger, the amount she sought was unrealistic due to the fact that the couple owned two heavily mortgaged houses in affluent neighborhoods, and were also paying private-school tuition for their children.

The woman had already worked with two lawyers, running up tens of thousands of dollars in legal fees by the time she consulted Ms. Swanger, who ultimately dropped her as a client. As a result of the ever-increasing legal bills, the woman’s credit score suffered a large hit.

“I don’t blame her for trying to retaliate, but I warned her that a calm divorce is the best divorce,” Ms. Swanger says.

Every dollar spent during the divorce process is a dollar that cannot be split 50-50. It’s advised that you look at your divorce as a way to strike a favorable business deal rather than a chance to seek revenge.

Taxes and Divorcemoney and divorce

Before the divorce paperwork is signed you need to make sure you review what your agreement will mean around tax time. There are different tax laws regarding alimony and child support, depending on what side of the agreement you are on. Be sure that your lawyer or financial adviser explains this before you finalize the financial aspects of your divorce. An agreement that looks equal on the surface might be completely unfair when it comes to tax time.

Financial planner Monica Garver, worked on a case where the husband proposed a division of assets that worked out to be roughly an even split at face value. He proposed keeping $2 million from after-tax investment account and giving his soon-to-be ex-wife $2 million in tax-deferred retirement accounts.

“Each and every dollar [in the retirement accounts] had to pass through the hands of the taxman before the spouse could put it in her pocket,” says Ms. Garver. She encouraged that her client seek more of the couple’s assets to compensate for the money lost to the taxman.

Don’t Forget!

Before you can consider yourself free from your spouse there are some other financial matters that might not seem obvious.

Be sure to update your will, says Ms. Vasileff, a financial planner. Not doing this can put your intended heirs in a difficult situation, she says. She advises you will also need to update a health-care proxy or a power of attorney that names your former spouse.

Lastly, transfer any titles for any real estate, cars, investment accounts or other assets that were held jointly into your name, says Harty of SignatureFD. She also advises a big thing: change the passwords on your accounts, too.

Also, if there was something agreed to in your divorce, like a requirement that your former spouse purchase a life-insurance policy and name you as the beneficiary, you should make sure that the premiums are being paid and that you remain the beneficiary, Ms. Harty says. One option to ensure this is being done: Ask for periodic confirmation from the insurance company.

A Family Law Attorney

There are a number of things that need to be considered during a divorce. You and your spouse will need to come to an agreement that settles every aspect of your marriage.  Child support, spousal support, marital property division can all be agreed to through the process of mediation. Working with a skilled mediation attorney can help ensure you get a fair case.  For advice on divorce, child custody determinations, setting up a co-parenting agreement, dividing marital property, and spousal support you need the expert law firm of Divorce Law LA. Schedule a consultation today.

Divorce Law LA, Esq.

Divorce Law LA

33 S. Catalina Ave. Ste. 202

Pasadena, Ca. 91106

(626) 478-3550

https://bestdivorcelawyer.co

Categories
Divorce Family Law High Net-Worth Divorce Mediation Spousal Support

Osbournes Call Off Divorce

Sharon and Ozzy Osbourne announced their divorce earlier this summer, but it now appears they have called it off.

Osbournes Call Off Divorce

After being married for 33 years, and amid rumors of infidelity, Sharon and Ozzy Osbourne announced their divorce at the end of the summer. But just recently the two took to two various talk shows to discuss the fact that they will be staying together.

This week, Black Sabbath frontman Ozzy Osbourne sat down with Good Morning America to explain that the couple is “back on track” after going through a low point in their marriage.  As he explained of their marriage and reconciliation, “Some days are good. Some days are terrible. Some days you just drift apart for a while but you get back on the horse.”

Sharon also spoke openly about the couple’s relationship on her talk show The Talk. “I just can’t think of my life without out him. Even though he is a dog. He’s a dirty dog,” she said in regards to his alleged infidelity. “So there we are. He’s going to pay big.”

“He’s very embarrassed and ashamed about his conduct. Through his shame and embarrassment he finds it hard to get it out. With you guys I think he’ll be much better. It will be easier for him to speak,” she went on to say. “I can’t speak for him. But for me, um, yes, you know. I forgive. It’s going to take a long time to trust but you know we’ve been together for 36 years, 34 of marriage, and it’s more than half of my life.”

Cancelling a Divorce

31217149_m

Just because a couple begins divorce proceedings, that does not mean they have to continue and complete a divorce. In fact, a divorce can even be called off once all the paperwork has been filed.

Stopping a divorce once the paperwork has been filed is dependent on the intentions of both spouses. Namely, both spouses need to agree why the divorce is being cancelled. Both spouses also need to agree to get back together and officially cancel the divorce.

The next consideration is where the paperwork is in the process of the filing. If a judgment has not been formally issued then the parties can stop the divorce upon mutual agreement. Naturally, it’s better to stop the divorce earlier in the process, rather than once it has gone through the majority of the process.

Request to Withdraw Divorce Petition

If both parties have agreed to cancel the divorce, the couple next needs to file a request to withdraw their divorce petition. This may require additional filing fees and court costs, and may also require that the couple attends counseling or mediation so that a court can determine if the decision to cancel the divorce is not only mutual, but based on a sound agreement.

Finalizing Withdrawal

Once the withdrawal is finalized, all divorce proceedings are cancelled, and the couple remains legally married. Property returns to being considered community property and any child custody agreements are cancelled.

Issues to Consider

There are some additional considerations to take if you wish to stop the divorce hearings. They include the following:

  • A spouses can change his or her mind at any point and continue with the divorce
  • Were there any reasons for why a spouse might have considered full custody, such as abuse or neglect? Do these issues need to be resolved before the couple can continue their marriage?

Pretending to Stop the Divorce

Sometimes a couple will pretend to stop the divorce in an attempt to delay the finalization of the divorce. This can be for any number of reasons. Falsely attempting to cancel a divorce may be considered divorce fraud and will be subject to investigation. The party attempting to falsely stop a divorce may face legal consequences, such as contempt of court or even criminal charges. This is why a court will often require counseling or mediation in order to determine that the couple actually wants to continue their marriage.

Another Option – Legal Separation

While divorce might seem like the only option, remember that legal separation is also available. Legal separation allows couples to live apart and take a “break” from each other, while also ensuring that each spouse’s legal rights are protected via a legal separation agreement. Legal separations can also be called: “judicial separation”, “separate maintenance”, “divorce a mensa et thoro“, or “divorce from bed-and-board.” All these terms refer to the legal process by which a married couple formalizes a de facto separation while remaining legally married.

Formal Legal Separation Agreement

42200044_s

It’s always advised that you sign a formal legal separation agreement. This agreement outlines child support and visitation, property division, and any other aspect of a marriage.  An attorney will be able to prepare this legal and binding document. This will offer you legal protection should your spouse fail to live up to his or her obligations and will also also hold up in court.

The following should be included in the legal separation agreement:

Spousal Support

Benefits – With legal separation spouses are able to retain certain benefits that were available during the marriage, such as health insurance.

Home Residency – If a couple shares a home, it should be decided at this time what will happen to the residency during the separation. The agreement should include information regarding who is able to live in the home, who is responsible for maintaining the home, and who is financially handling the home.

Joint Accounts – A legal separation agreement outlines who has access to those joint accounts such as joint checking, savings, and credit accounts. It’s often advised to close or freeze these accounts during the separation. Each spouse will then need to obtain their own personal accounts.

Protection from Acquired Debt – A legal separation agreement will shield you from being responsible for debt acquired during the time of the legal separation.

Why Pursue Legal Separation?

There are advantages with legal separation, including:

  • Spouses are able to maintain benefits such as a spouse’s health care plan or military benefits.
  • Staying legally married for 10 years allows couples certain social security benefits.
  • The separation period allows for a “cool off time,” during which parties can work to resolve their differences. Couples can then decide to either pursue a divorce or resume the marriage.
  • In some religions divorce is not allowed or recognized. Legal separation allows these religious couples to live separate lives while still remaining married and true their faith.
  • Legal separation can be used to solve immediate problems in couples who are uncertain about moving forward with divorce.

Steps to Follow for Legal Separation

Here are the steps you will take to acquire a legal separation:

  • Consider working with a family law attorney that can advise you on all the necessary steps of your legal separation.
  • You and your spouse will need to decide on grounds for the separation
  • Fill out a Form FL-100 Petition. This form includes options for divorce (dissolution of marriage) or legal separation.
  • If you have children under 18, you will need to complete Form FL-105/GC-120 which provides information to the court regarding children.
  • File Form FL-100 at your local county court. Pay any necessary fees. If you receive public benefits or have low income, you might be eligible for a fee waiver.
  • Serve your spouse with a copy of the court papers if they were not filed together. There will need to be proof of the serving, which can be done through various means such as a process server. A family law attorney can advise you on how to obtain this proof.

Still Considering Divorce?

If following your legal separation you and your spouse decide to move forward with a divorce, you will still need to file a divorce petition and go through the formal divorce process. Since a legal separation agreement has already been created and you mutually agree all aspects of your marriage, chances are you will be able to file an uncontested divorce. If there are still unresolved issues, you might decide you need a court’s help to come to a decision. It’s important to remember though that just because you are legally separated, that does not mean you are officially divorced. A judge will need to sign off on the final divorce papers and agreement before you can declare yourself “single.”

Working with a Divorce Attorney

It’s always advised that you consider working with a family law attorney. They will be able to advise you on any number of issues, including: child support, spousal support, marital property division, child visitation, etc… A lawyer from the expert law firm of Divorce Law LA will be able to guide you through the divorce process. The Divorce & Family Law Offices of Divorce Law LA will provide you with the highest level of expertise and professionalism from our skilled attorneys. Our Divorce and Family Law Practice spans a wide spectrum of areas that include: divorce, high net-worth divorce, marital property division, child custody and visitation, and child support.

Divorce Law LA

33 S. Catalina Ave. Ste. 202

Pasadena, Ca. 91106

(626) 478-3550

https://bestdivorcelawyer.co

Injury Blog Topics

Injury Pages

Calender

December 2024
M T W T F S S
 1
2345678
9101112131415
16171819202122
23242526272829
3031