Southport Connecticut Family Law Blog

If you and your spouse have experienced significant marital challenges, you may be considering filing for divorce. Many Connecticut couples think about the potential of getting divorced for some time before they actually take steps to file for a divorce. If you are in this stage, you should use the time to ensure that you are fully educated about your marital finances and that you properly identify the cost of living for you as a single person. 

USA Today explains that learning about your current finances and future financial needs can help you prevent falling into extreme financial problems down the road. The first thing for you to do is to get a full picture of what it costs you and your spouse to live your current lifestyle today. Collect information on all expenses and on all debts you share. Make sure to include things like health care costs not covered by insurance, vehicle insurance and maintenance and extracurricular activities for your kids.

The end of summer can often be a busy time for families in Connecticut who have school-aged children. People may try to fit in the last of the summer fun activities while also needing to get prepared for that eventual first day of school. For parents who are separated or divorced, there is also the need to figure out how they will navigate purchases of back-to-school materials and a changing schedule with a former partner. 

Coparenting is rarely easy but it seems that a parent's ability to do this well is put to the test when this time of year rolls around. PsychCentral recommends that divorced or separated parents make their plans for how they will split costs and time with their kids without putting the kids in the middle. Developing a school-year schedule should also entail making plans for unexpected events like school closures due to inclement weather or a child's illness that necessitates them to stay home on a school day.

It is reasonable for people who live in Connecticut to be worried about their finances if or when they get divorced. The impact of splitting assets and finding how to support oneself on a solo income after becoming accustomed to a married income lifestyle is no easy task. For some people, the experience may actually be a contributing factor to eventual poverty according to some research conducted by sociologists at Bowling Green State University.

The researchers took a look at the financial situations of people who were 62 years of age and older and then grouped the people into one of seven different categories based on their marital status, gender and age. Interestingly, the group with the lowest poverty rate included those persons, male and female, who had been divorced before turning 50 but who eventually got remarried. The poverty rate for this group was 3.1%.

As you enter into your divorce proceedings in Southport, you likely have already resigned yourself to the fact that you will likely lose (or at least see your ownership diminish in) some assets. You may not be ready, however, to include your 401k amongst them. While the contributions made to your retirement account during your marriage do come from marital income, they still came as a result of your individual effort. Thus, your desire to not divide them with your ex-spouse is understandable. There may even be a way for you to keep the entirety of your 401k account in your divorce settlement. 

The 401k Help Center suggests that if you want to retain your full 401k, you should consider giving up another asset to your spouse in exchange. The asset you relinquish your claim over, however, must be of comparable value. Finding such an asset may be more difficult than it sounds due to the complexities of trying to estimate exactly how much your 401k will be worth when you reach the age of retirement.