The process of evaluating and dividing assets at the end of a marriage can be rather complex, depending on family income and other factors. Similarly, San Antonio residents can find themselves confronted by a number of unexpected financial concerns during and after divorce proceedings. Provided below are a few financial considerations that people can keep in mind as they proceed with divorce arrangements to help ensure that their personal finances and interests are accounted for at every stage of the process.
If there are children in the family, it is important to take their immediate and long-term care needs into consideration during divorce. In addition to establishing child support payments, parents may also need to determine how such expenses as college tuition may be divided between them in the future. Agreeing upon which parent will claim the child on his or her tax returns could also be helpful.
Many divorcing couples also need to consider how their retirement savings could be affected by the division of marital property. Developing a qualified domestic relations order is necessary in many cases to help protect individual retirement savings, as well as outline how these types of marital assets should be distributed.
Another concern that people should address during divorce is the taxation of marital property and/or other sources of income. In the event that spousal support is assigned, for instance, both the provider and recipient should consider how best to account for those funds when filing their taxes. After all, addressing these and other similar financial matters early can help to prevent disputes down the line.
Source: Huffington Post, “Divorce and Money,” Terry Savage, March 18, 2015