Finances are often a significant area of anyone's life. However, California residents who are ending their marriages may find themselves needing to pay particular attention to the state of their current and future financial affairs. The decisions made during divorce proceedings can have substantial financial impacts, and individuals may want to work to become more aware of those effects before making certain decisions.
The idea of creating a prenuptial agreement may cause an uneasy feeling for some California residents. However, rather than thinking of such an agreement as an anchor destined to drag a marriage down to divorce, individuals may wish to consider it a safety net. These days, having a prenup may be more beneficial than ever as parties are marrying later in life, marrying multiple times and bringing their own assets to the relationship.
When going through a trying time, one of the main goals many individuals have is to protect themselves. Whether the protection needs to address emotional, physical or monetary concerns, individuals often want to find out their best options for adequately preparing. When it comes to divorce, protection may need to come in different forms, but for many California residents, ensuring that their finances are not decimated may be a primary goal.
Many California residents likely consider the first month of the year a time for getting organized and assessing the state of their lives. For some, that may mean considering whether they would like to continue on with their marriages. If individuals are contemplating divorce, they may find themselves looking for information before jumping into the process.
According to "The Orange County Register," the California divorce rate is about 60 percent. This is 10 percent higher than the national average of 50 percent. Many more couples think about divorce before ever taking such steps as talking to an attorney or hiding property to keep it out of the divorce settlement. In California, community property is defined as "assets acquired or income earned by a married person while living with the spouse." It also includes debt acquired during the marriage. All these items should be distributed equally in the dissolution of the marriage, but sometimes, a person might attempt to get around this law.
Dissolving a marriage can be a complicated endeavor that affects each individual differently. Those facing these issues in California may wish to pay particular attention to how they approach their divorce cases. By properly preparing and choosing the process that best suits the circumstances, divorcing individuals may be better able to work through their proceedings in the most efficient manner possible.
Though retirement may be a time that many California residents look forward to, there are certain life changes that could impact those plans. For instance, divorce is a major alteration that could especially affect older parties. Because financial blows may be more difficult to bounce back from at an older age, individuals may wish to identify their goals and determine how to use the divorce process to their advantage.
If you live in a community property state such as California, divorcing generally means that each spouse gets half of the property and half of the debts. While there are several ways to work out a fair and equitable division of property, judges are not likely to approve any agreement that appears to violate the 50/50 rule. When you sit down to figure out your property division, it is important not to forget about any pension plans that either of you have. Pension plans can also be considered marital property and may need to be divided. Keep in mind, however, that a pension plan differs from regular property in several significant ways and may be subject to specific laws.
When couples get engaged, they often think of how happy their futures will be together. While this mindset is often one of positivity and love, it may also be wise to consider the potential for a marriage that does not work. One way individuals could protect themselves in the case of future divorce is to create prenuptial agreements.
During separation proceedings, individuals may seek various terms when it comes to spousal support, property division or other related subjects. The circumstances of a divorce play a considerable role in how certain agreements may be drawn up, and individuals hoping for a certain outcome may wish to find out how to best work toward their goals. In some cases, the court may be required to make render decisions.