Divorce is Like a Fingerprint - Unique
by
Joseph C. Maya on Feb. 16, 2024
Summary: Every divorce is like a fingerprint – unique. So, make sure you're getting advice that's right for your own situation. Couples want to make money side of things as smooth as possible during this bumpy time. Connecticut follows the principle of equitable distribution, which aims to divide assets fairly, though not necessarily equally. Factors to consider in an equitable division of assets are length of the marriage, each spouse's financial and non-financial contributions, and financial needs to name a few.
Top Ten Tips to Prepare Financially for Divorce
- Seek Legal Support: Consult a divorce lawyer in Connecticut to guide you through the legal steps and explain your rights.
- Gather Financial Papers: Collect financial documents like tax returns, pay stubs, and bank statements.
- Understand Marital Property vs. Separate Property: Understand what assets are shared and acquired during marriage and those seen as separate such as assets owned before the marriage. Separate property can also be inheritance and gifts.
- Value Your Assets: Determine the value of your home, cars, possessions, and investments for a fair division of marital assets. Accurate valuations are crucial.
- Spousal Support: If one spouse earns more, the other spouse might be entitled to support support (alimony). The duration (term) and amount of alimony depend on many factors including length of the marriage, income, age, and education.
- Children and Child Support: Decide on custody of children, child support, and where the children will live. Work out a parenting arrangement that includes decision making and sharing time with the children.
- Plan Your Finances: Make a budget to manage expenses after divorce. Two households cost more than one.
- Handle Debts: Sort out who's responsible for debts acquired during the marriage and how to distribute these liabilities such as car loans and credit cards.
- Seek Professional Advice: Financial advisors, accountants, and lawyers can advise you based on your unique situation and tailored to your needs.
- Mediation and not Litigation. Negotiate your asset division through divorce mediation or collaborative divorce. Mediation can result in a more amicable outcome.
Other Things to Consider In Your Divorce
- Update Important Documents. After the divorce, change names on insurance, retirement accounts, and relevant papers. Prepare a new Last Will and Testament.
- Future Financial Needs: Consider your post-divorce financial needs, including housing and daily expenses. Ensure your settlement supports your financial stability.
- Children's Interests: The well-being of children is a priority. Consider their housing needs, education, and overall comfort.
- Tax Implications: Be aware of the tax consequences of asset division. Certain assets might have tax implications when transferred or sold.
- Retirement Accounts: Splitting retirement accounts requires specific legal documents like a Qualified Domestic Relations Order (QDRO). Understand how this process works and make sure the QDRO is prepared soon after the divorce is final.
- Non-Financial Contributions: Consider non-financial contributions made by each spouse during the marriage. These include staying home to raise children, sacrificing a career to support the other spouse's career, and relocating for your spouse's new job.
- Liquid vs. Non-Liquid Assets: Differentiate between liquid assets which easily convert to cash and non-liquid assets such as real estate which takes time to sell.
- Long-Term Impact: Think about how the asset division will impact your financial situation in the long run. Make decisions that set you up for a stable future.
- Documentation: Request a certified copy of your divorce judgment and divorce agreement. Keep records of all financial information and communication related to asset division. This can be helpful in case of disputes.
Remember that every divorce is unique, so the best approach may vary based on your individual circumstances. It's important to consult an attorney who specializes in divorce and family law and divorce related financial matters to ensure you make informed decisions.
Maya Murphy P.C. has proudly been included in the 2024 Edition of Best Law Firms®, ranked among the top firms in the nation. In addition, Managing Partner Joseph C. Maya has been selected to The Best Lawyers in America® 2024 for his work in Employment Law and Education Law in Connecticut. Recognition in Best Lawyers® is awarded to firms and attorneys who demonstrate excellence in the industry, and is widely regarded by both clients and legal professionals as a significant honor.
Our firm in Westport, Connecticut serves clients with legal assistance all over the state, including the towns of: Ansonia, Beacon Falls, Bethany, Bethel, Branford, Bridgeport, Brookfield, Cheshire, Danbury, Darien, Derby, East Haven, Easton, Fairfield, Greenwich, Guilford, Hamden, Madison, Meriden, Middlebury, Milford, Monroe, Naugatuck, New Canaan, New Fairfield, New Haven, Newton, North Branford, North Haven, Norwalk, Orange, Oxford, Prospect, Redding, Ridgefield, Seymour, Shelton, Sherman, Southbury, Stamford, Stratford, Trumbull, Wallingford, Waterbury, West Haven, Weston, Westport, Wilton, and Woodbridge. In addition to assisting clients in Connecticut, our firm handles education law and employment law matters in New York as well.
If you have any questions about employment law or education law in Connecticut, or would like to speak to an attorney about a legal matter, please contact Joseph C. Maya and the other experienced attorneys at Maya Murphy, P.C. at (203) 221-3100 or JMaya@Mayalaw.com to schedule a free initial consultation today.