Posts tagged "finances"

As we have reported in the past, divorce among the baby boomer generation is on the rise in New Jersey and elsewhere. What this means is that a larger number of older people than ever before are going to be alone during their golden years, and they could be depending more on their children.

In fact, according to a study published recently in the journal The Gerontologist, one out of three members of the baby boomer generation is currently unmarried, and 60 percent of these individuals are divorced. Unfortunately, the study concluded that unmarried baby boomers face a greater chance of being poor and not having health insurance than their married counterparts.

In a recent post, we talked about the emotional and financial impact of getting a divorce. Many people expect to be emotionally drained after a divorce, but fewer people are prepared for the financial toll of getting divorced. We already talked about the additional costs of finding a new place to live and splitting all your bills.

Many couples in Old Bridge have worked hard to accumulate wealth in a few places. In addition to having equity in their homes and vacation homes, many couples also invest in stocks and make significant contributions to their retirement accounts. Today we'll talk about the cost about the cost of splitting your pension or 401(k), your stocks and CDs, and any other financial assets you have.

When most people think about prenuptial agreements, they assume that prenups are only for people with celebrity-statuses or people who are bringing millions of dollars into a marriage. In reality, most couples in Old Bridge who are getting married could benefit from signing a prenuptial agreement.

Regardless of whether a couple files for divorce or stays married forever, a prenuptial agreement can serve them well.

If the couple stays married, signing a prenup can help reassure both partners that they know the financial situation of the other partner, and it can help ensure that conversations about finances are started before the marriage. If the couple gets divorced, signing a prenup can help ensure the asset division is as smooth a process as possible.

Perhaps you always appreciated that your spouse handled the household finances, saving you the stress of juggling income, bills, investments and other money matters. During the course of your marriage, ignorance can be bliss. But when divorce comes into the picture, being unfamiliar with your financial matters could put you in a risky situation.

Unfortunately, many New Jersey divorcees can share the tragic tale of how their spouses swindled them in their divorce proceedings. In many cases, one spouse was able to cheat the other out of his or her fair share of the couple's finances by hiding money in various ways.

When a couple's financial situation permits it, many families prefer to have one parent stay at home to raise the kids while the other spouse goes to the office to bring home the paycheck. As long as the marriage lasts, that approach can be effective, but the stay-at-home parent may face numerous complications if the couple decides to divorce.

One of the things many individuals in Old Bridge are concerned about is whether they will be able to stay on their spouses' insurance policies after the divorce is finalized. In short, the answer is, "No." Although your children may stay on the policy, you must find a new insurance plan.

Divorce is filled with emotional grief, but most splitting couples don't have the luxury of sitting idly by until they start to heal. The process of divorce can be busy, stressful and unsettling -- particularly when you realize your financial situation is about to change.

New Jersey couples can benefit greatly by taking a few steps to keep their spending under control during divorce, helping to alleviate some stress until your financial forecast becomes clearer.

Since divorce can be expensive, people often put off getting divorced until their financial situations improve. That may not be in a divorcing couple's best interests, especially if the divorce is a high net worth divorce or if domestic violence involved. New Jersey residents with valuable or complex assets may benefit from divorcing in a downed economy because assets, including homes, are worth less. This means there may not be as many tax repercussions.

Child support and alimony are based on income, among other things. If the parties do not have high income, the courts may not order a high child support amount or a high alimony amount. It is easier to raise the child support and alimony as the parties' incomes increase, but it can be challenging and time-consuming to lower support obligations.

Most people who are thinking about divorce are concerned about three main things -- their kids, their property and their money. Discussions regarding child custody and property division will be worked out during the divorce process. To some degree, that will also impact your finances.

However, the way in which you decide to divorce can also make a huge difference on your pocketbook. In general, the more things you want to argue in court, the more expensive the divorce will be. Given the unstable nature of the current economic climate, many people are turning to mediation as another way to save money.

Divorce frequently cause tempers to flare, and some spouses willing to take unfair and cruel measures to ensure they get the upper hand in divorce proceedings. Good divorce lawyers are well-acquainted with such tricks, and they know how to combat them. If you suspect your soon-to-be ex-spouse is willing to go any distance to secure a bad ending to your marriage, it may be advantageous to contact a family law attorney who can protect you.

One tactic particularly common in high-asset divorce cases involves one spouse preventing all of the top divorce lawyers in the area from working with the other spouse. For instance, an individual undergoing divorce could arrange meetings with all of New Jersey's best divorce lawyers, revealing certain details about the case without actually intending to retain the attorneys. Because those attorneys have consulted with one spouse, they are ethically obligated to turn down the opportunity to represent the opposite party.