Northwest Denver Divorce Lawyers
Be Prepared for Your Divorce via Financial Planning
BROOMFIELD, COLORADO, UNITED STATES, January 19, 2023 /EINPresswire.com/ — With 34 years of experience as divorce attorneys in the North Denver area, Leonard D. Tanis and Michael McGonegal have witnessed many things. One thing is certain from their perspective: a divorce’s financial aspect can upend anyone’s confidence. Unprepared parties experience anguish when they come to realize the financial burden of their divorce. In fact, even though studies confirm financial problems are a common reason for a divorce, the opposite is also increasingly happening: unhappy couples stay together because of the threat of financial ruin if they divorce.
At Tanis McGonegal Family Law, financial considerations of divorce are a critical part of the divorce process. They remind us that, in Colorado, the court will divide marital property equitably, which means fairly and not necessarily equally – also known as equitable distribution. Many states still follow the community property doctrine where the property is split 50/50. In fact, many people assume the 50/50 split also applies in Colorado because popular culture as played out on the big screen suggests it’s a universal law. From that misconception flows unfortunate assumptions about the costs and continued costs of a divorce.
Fortunately, you do not have to end up struggling or claiming bankruptcy if you properly prepare, that’s the message attorneys Tanis and McGonegal express to all of their clients. Financial considerations take on many faces, though, and are persistent in many relevant divorce matters. Here are the big five financial considerations to keep in mind when going through a divorce in Colorado.
1. Marital Property
Marital property is defined as any property acquired during the marriage, regardless of whose name is on the title. This includes things like the:
Marital home and other real estate
Personal property (e.g., jewelry or art)
Household goods (e.g., appliances)
Vehicles (e.g., cars, trucks, boats, motorcycles, motorhomes, and other recreational vehicles)
Investments (e.g., stocks and mutual funds)
Retirement accounts (e.g., IRA, 401(k), FERS, PERA, and military retirement)
Other property, like stock options, frequent flier miles, value of the increase of separate property during the marriage up until the dissolution of the marriage, and more
That’s a lot. The court will divide marital property equitably between the two parties, taking into consideration factors like:
Each party’s income or economic situation at the time of the divorce
Earning potential after the divorce
Each party’s contribution during the marriage (including economic and domestic contributions)
Ability to support themselves
Care of any children
Again, remember the court does not have to divide marital property equally but will do what it believes to be fair given the facts and circumstances. As a result, one party may end up receiving …….