If you have been married to your spouse for many years, it’s likely that your finances have become intertwined substantially. While one spouse is likely to earn more than the other, you probably feel that you both have contributed relatively equally to the running of the household and, therefore, the facilitation of earning an income.
When a marriage breaks down, both spouses can become worried about making sure that they gain a good settlement. This may cause your ex to use aggressive tactics such as trying to challenge the prenuptial agreement or even engage in wrongful behaviors such as hiding assets in offshore accounts. If you feel stressed that you may not get what you deserve in the asset division process, it’s time to get organized and well-informed on how the law is in place to protect you.
Understand the asset division laws in California
California is an equitable distribution state when it comes to asset division. This means that when a dispute arises, the divorce courts will decide how marital assets should be divided among spouses in the fairest possible way. They will consider factors such as the length of the marriage and the contributions that each spouse made to the marriage.
Get organized
You need to prioritize gathering documents, getting a better picture of your financial situation, and the marital assets that you share. The better you are able to organize yourself initially, the more you will be able to focus on beneficial strategies further down the line, and feeling organized will also reduce stress and anxiety levels.
Remember to consider the tax implications of divorce
It can be easy to focus on maximizing assets that you’ll gain at divorce, but you also need to consider the maintenance costs of these assets as well as the tax implications of all decisions. Verify whether maintenance payments and child support payments will be tax-deductible if you believe that you will need to pay them.
If you’re feeling stressed about your divorce, you’ll feel better when you have taken decisive action and put strategies into place.
