Subscribe to this list via RSS Blog posts tagged in divorce settlement

Posted on in Divorce

IL divorce lawyerMilitary marriages experience strains and stresses in greater capacity than other marriages due to the complications that their jobs put on both spouses. Though these marriages can be extremely stressful and difficult, the overall divorce rate among both male and female service members only averaged 3 percent in 2017. To be more precise, about 21,290 of 689,060 married troops divorced in 2017. The divorce process for members of the military is relatively uniform to those who are not in the service. The main difference for these individuals is how to divide their retirement plans.

Typical Military Retirement Plans

Retirement for members of the military is radically different for each member since not many individuals serve for 20 years, the requirement to get the normal retirement benefit. As a result, military retirement plans are made up of 3 components:

  1. Defined Benefit: Retired pay is 2 percent times the number of years of service. For example, if you retire after 20 years you get 40 percent of your final base pay and if you retire after 30 years, you receive 60 percent.

  2. Defined Contribution: The military contributes 1 percent of a member’s base pay to their Thrift Savings Plan (TSP) account. Each member is automatically enrolled with a 3 percent base pay contribution to their TSP and the government will match up to 5 percent of their contribution after two years of service. A member of the military must complete two years of service to receive government contribution.

  3. Continuation Pay: After 12 years of service in the military, active duty service members receive a bonus equal to 2.5 months basic pay if they commit to four additional years of service.

    ...

IL divorce lawyerDivorce is the legal process of dismantling a marriage, and as such, the divorce process involves many financial decisions like dividing a couple’s marital property and determining whether spousal maintenance is necessary and appropriate. For the individuals getting divorced, the divorce process can be expensive. It also involves individual planning on each partner’s part to ensure that he or she does not face financial hardship after the divorce. Your discussions with your lawyer should cover every financial topic related to divorce, such as the tax obligations that come with certain marital assets and how to divide your retirement accounts through a QDRO. On your end, take the following initiatives to make the divorce process as financially straightforward for yourself as possible.

Completely Sever Yourself from Your Spouse Financially

Before the divorce is finalized, work with your spouse to close all your joint accounts. If he or she is an authorized user on your credit cards, remove him or her from them. You might choose to divide your outstanding credit card debt yourselves by transferring it to two new, separate credit cards. This is also the time to determine how to divide your shared investments.

Determine Your Post-Divorce Obligations and Create a Budget

After your divorce, you will probably be living off just your own income. This significant change in household income warrants a new budget.

...

Illinois mediation attorneyWhen you decide to use mediation, rather than litigation, to end your marriage, you and your spouse can save yourself a significant amount of time and money. Although mediation is often “easier” than completing a courtroom divorce, it is not without its demands on the divorcing couple. You have certain responsibilities to uphold while you work through your divorce, which include the following:

Provide All Relevant Documents to Divide Your Marital Assets

Division of your marital assets will likely be the most time-consuming portion of your divorce. Make this part as straightforward as you can by coming to your mediation sessions with all your relevant documents handy. These might include:

  • A recent appraisal of your home;
  • Statements for your financial accounts;
  • Pay stubs;
  • An itemized list of your tangible assets and their values; and
  • Your most recent tax returns.

Acknowledge Your Spouse’s Concerns and Goals

Mediation only works if both parties are willing to work together. One of your responsibilities during mediation is to acknowledge your spouse’s position and even if you do not agree with it, validate his or her point of view. That is the position from which he or she is approaching the divorce and you, as the other party involved, must be willing to acknowledge this and work with him or her to reach an equitable settlement.

...

Illinois divorce attorney, Illinois mediation lawyerIf your marriage has reached the point where divorce is inevitable, do not assume that a lengthy court battle has to be part of your divorce. You and your spouse could be good candidates for mediation, which will make the divorce process less stressful, less expensive, and overall more empowering for you.

With mediation, a divorcing couple works with a mediator, a neutral third party, to reach agreements about their divorce settlement through a series of guided discussions. These discussions cover every aspect of the couple’s divorce settlement, such as the division of their property and how they will handle spousal maintenance. Often, couples who divorce through mediation report higher levels of satisfaction with their divorces than those who divorce through litigation. But mediation is not the ideal solution for all couples. When domestic violence is present in a marriage, mediation is rarely a viable option. Similarly, couples who cannot work together are generally not well suited for mediation. Ask yourself the following questions to determine if mediation is right for you.

Can You Work Amicably with Your Spouse?

If you cannot look at your spouse without wanting to punch him or her, mediation is not for you. Similarly, if you cannot discuss issues related to your marriage in a calm, rational way with him or her, you will not have a successful mediation. Mediation requires a couple to work as a team to determine a fair settlement, which involves putting their emotions aside to work toward the greater good.

Do You Trust Your Spouse?

...

Recent Blog Posts

Categories

Archives

Contact Us

How Can We Help?

NOTE: Fields with a * indicate a required field.
*
*
*
AVVO LL BV