The financial toll of divorce

March 26, 2013 (Press-News.org) The financial toll of divorce

Article provided by Richard Hasley
Visit us at http://www.hasleylaw.com/

When a couple decides to get married, the soon-to-be husband and wife spend a lot of time planning for the future. These are very important discussions to have, because both people need to be sure that they are marrying someone that shares similar dreams and goals. If the couple does not agree about some of these issues, it may be a sign that the couple may want to reconsider.

However, some couples do not take the time to have these discussions. When issues arise, they can be impossible to resolve. The couple grows resentful, and may feel that divorce is the only way to address the problems that they are having.

Often many people are completely unaware of the changes that will result in their lives after a divorce. Those with children will have to work together to ensure that each parent is able to continue playing an active role in their lives. They will also need to divide up the property that they acquired during the marriage, which can lead to time-consuming litigation.

Frequently, those who have recently been through a divorce struggle with the financial implications that often result. When married, both spouses may have been making financial contributions to the household. After the divorce, this income can be decreased substantially. If the individual has to pay child or spousal support, this will only increase the impact of the divorce. Couples may have also incurred substantial debt over the length of their marriage, which will need to be accounted for during the divorce process as well.

There may also have issues connected to home ownership. The couple may have mortgages for way more than the home is worth, meaning they will lose money if they have to sell the home. Both sides may want to escape from the underwater mortgage, making it one of the more complex issues that need to be addressed. Creative solutions are possible, but only if it makes financial sense for each side.

Divorce can be especially difficult on couples that are close to retirement age. They may have planned on spending this time together, and the change can be difficult to handle. A divorce at this time can have a devastating impact upon finances. Retirement accounts and investments can be significantly reduced, leaving little time to replenish the savings before retirement.

It is extremely important that those considering filing for divorce consider the impact that this will have on their finances. Proper planning can help the individual emerge from the process in sound financial shape.

If you are considering filing for divorce, you may have many questions about the process. Speak to an experienced family law attorney to learn more about what you need to do to protect yourself during this difficult time. Each divorce is different, and you need a plan that is focused on your needs.