It is very important to always make sure your divorce lawyer is well aware about all your financial status and the relevant documentation. It will help you to prevent any financial loss that you may face otherwise. Let’s check out few important factors for financial issues during divorce phase.
Divorce and finances
- Fair Division Regardless Who is Leaving
Generally, people think that if one spouse is deliberately leaving the marriage then you can have more benefit out of your joint finances than the other. It is not true as divorce lawyers don’t consider it any point for unequal division and this factor has no importance when decision of finances division is being taken as per the laws. In fact, who is leaving marriage first is rarely of any importance for dividing assets between both partners.
- Taxes on Joint Assets
It is a very critical part when you have to divide taxes on joint assets. It is somewhat dependent on your age as well as the time required for finalizing assets division is also very important here. It is better and recommended to get the division decision made within twelve months of divorce to avoid any extra penalty on taxes.
- Child Support Payments
You should be well aware of the fact that the children belong to you both and no decision could affect them in any way. Your child support lawyer can make it easy for you who can better help you in making fair decisions in best interest of your children regardless of them staying with you or your spouse.
- Check Past Tax Returns
It is also very important to check the past five to seven years’ tax returns that you both filed together. This may help you in making negotiations in your current taxes which are going to be liable on you only. Here, your tax assets will play a very important role in the final amount that will impact your total income for yourself as well. So make sure to check all the documents thoroughly and make yourself very clear about all of them to get the least impact on your financial status.
- Joint Assets and Liabilities
Before reaching to any decision, you need to do your homework in detail about all your joint assets and liabilities. For instance; consider your house, taxes, stocks, mutual funds, cars and such things like how you can divide them. May be you can sell some of them which cannot become a hurdle for you later on. While most important liability is child support so make sure your child support lawyer has taken all your information accurately. If you are ordered to pay child support than you are obliged to do that but you have to check how it will fit in your budget. Because the amount is quite high as per your income and assets.
- Division of Electronic Devices
Though these electronic devices might not hold much financial value but of course it must contain a lot of emotional values. You need to make sure that either the devices are sold with consent of both partners or passwords are shared between both so that you both can access anything you two want. Talk to your divorce lawyer to include this point in your divorce agreement as it holds a great emotional value.
- Document Current Financial Needs
If you both have decided to take the decision of divorce, then make sure to document all your current financial needs. You can say jot down the cash flow of your current lifestyle that may have impact with such extreme decision of divorce. It will include the basic necessities of your kids as well so you can take help from child support lawyer fairfax va here as well. While you need to include the ones which are most valuable assets for you like liquid accounts in this document. And if you thing you are more stable financially then you can add things with lesser degree of liquidity as well in this document. Also you should know that this document will hold a great importance in any divorce agreement so read it thoroughly before presenting it in your case.