What You Need To Know About Divorce
Divorce is becoming more and more common. People are divorced everyday, which is why it is so important that you take the time to protect yourself. Here are a couple things that you may not know about divorce so that you can properly prepare.
They Will Most Likely Divide Your Retirement
Depending on the amount of time you have been married, you are likely to have your retirement and pension divided. This means that even though you might have been the only one who worked at that given job, your spouse has claim to it.
This is because any money that was acquired together during the marriage, whether one spouse earned it, is considered joint property. Perhaps one spouse was a stay at home parent while the other worked. Even in this case both spouses have claim to the retirement.
There are some exceptions to this rule. One would be that you weren't married very long. Another would be that both spouses have good jobs where each of their retirement or pensions could sustain them individually. Lastly, you might have a prenuptial agreement that could protect you from having to give your pension or retirement.
You Will Both Be Responsible For Debt
Debt plays a major role in divorce as well. Do not fall into the trap of thinking that if one person used the credit card more and acquired debt that you are protected. Just like anything in the marriage is considered joint property, generally so is any debt.
For this reason, many people try to pay off debts before they get married. This is to both spouses benefit. This is because if one spouse is responsible over one debt and the other spouse is responsibile for another, you are both at the mercy of your ex-spouse. For example, if your ex-spouse chooses not to pay the bill, it could harm your credit and you would still be responsible for the debt.
Alimony Is Based On Each Individual Circumstance
Many spouses end up paying alimony to each other after the marriage has dissolved. Whether or not you pay alimony, and how much will depend on your individual circumstances. Generally if one spouse makes significantly more than the other, or if one spouse has been a stay at home and still needs to care for children, they would be entitled to alimony. This will be something that you will have to negotiate in your divorce agreement.
By understanding these things you can be prepared for a divorce. Family mediation is one tool used to help you and your ex-spouse come to an agreement on the division of both assets and debts.