Most Common Financial Issues Of Divorce

Divorce can become a financial roller coaster if you are not careful. You and your former spouse have to make tough decisions regarding your finances, which can impact your future and the future of your children. It is important you don’t make these important decisions uneducated and alone. Find a good Salt Lake City asset and property divisionattorney to help you with your divorce proceedings.

Divorce property division

If your marriage is coming to an end, you probably wonder how your marital property will be divided. Most couples accumulate a lot of belongings during the course of their marriage. Dividing marital property fairly is what every couple wants. After all, it will benefit the whole family and help you avoid costly legal fees and unnecessary legal battles in the future. Joint marital assets are divided equally. However, there are other ways to divide property, which only an experienced Salt Lake City asset and property division attorney can explain to you in more detail.

Some couples are able to come to an amicable agreement about the division of their assets. Yet there are always disagreements about specific items. It is common exchanging items. For instance, the wife may want to keep the house and the car while the husband prefers other marital property. Sometimes mediators are used in order to divide the proceeds equally. It is important you are familiar with the laws in your state and how they may apply to your specific situation.

Dividing debts

This is also an important aspect of your divorce process. Debts are often more difficult to divide. In order to properly divide them, you will first have to calculate how much you owe. You should order your joint credit card report. Some divorce parties run up debt without the former’s spouse consent, particularly if he or she is considering a divorce. Once you obtain the credit card reports, you proceed to identify which debt is yours. It is important both divorce parties agree to stop the debt from growing larger. Some parties like to cancel most of their credit cards and leave one to use in case of an emergency.

You can take some steps to make sure your debt doesn’t keep increasing:

  • Paying off your debts and start a life debt free
  • Become responsible for your debts by asking for more funds when dividing marital assets
  • Share responsibility for your debts

Tax problems

Most divorcees talk about child custody, alimony, asset, and debt division but they forget about other important issues such as the tax implications of divorce. Some tax issues you will have to deal with include:

  • Tax exemptions for dependents if you have children
  • Claiming the Head of the Household status
  • Tax-deductible attorney fees
  • Avoiding non-deductible child support
  • Avoiding non-deductible maintenance payments

Retirement benefits

Retirement benefits can also be divided equally. You need to consider how these assets can be divided with the help of a qualified family law attorney familiar with these types of cases. It is important you secure your financial future and the future of your loved ones. We can help you do that when you call usand schedule your asset and property division case review.

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