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.
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.
If you and your spouse in Connecticut have made the difficult decision to end your marriage, you will now face the challenge of figuring out how to split up your assets and move forward with two single lives. A lot of attention is given to property division settlements and, while that is understandable, it is important for you to remember that it is not just your assets that need to be addressed but also your debts.
When couples in Connecticut get divorced and they own a home together, they often put a lot of time and emotional energy into figuring out what to do with their house. However, some of that time and energy should also be directed toward the mortgage. That is because banks do not look at houses and mortgages as one in the same but as two distinct things. This becomes very important when one spouse wants to keep the house.
Divorced or would-be divorced couples in Connecticut may want to take note about a change that is looming regarding how spousal support payments will be taxed once the Tax Cuts and Jobs Act goes into full effect on January 1, 2019.
Connecticut spouses who are considering a divorce this year or possibly next year in 2019 should take the time to evaluate a rather significant change in the tax code that may have major implications for the outcome of their divorce settlement.
Residents in Connecticut who get divorced know that there will be many new things to learn and decisions to make. One of the difficult parts of ending a marriage is deciding how the couple's assets and debts will be split between both parties. It is important for spouses to know that making this decision requires not simply agreements between each other but may also require that they follow certain processes in order to avoid unforeseen pitfalls.