4 Things Often Overlooked in Divorce Agreements

Northeastern states tend to have the lowest marriage and divorce rates when compared to Southern and Western states. In New York City alone, 19,609 couples obtained a divorce decree in 2017.

While most people understand the basic aspects of divorce, such as child support, child custody, and property division, there are several things that many people overlook before they come to us for help. If your divorce is complex, challenging, and high net worth, this article will explain some common divorce mistakes to avoid. With Stepanian Law Firm, you’ll never be caught off guard when you have to negotiate with your spouse.

1. Not Considering an Uncontested Divorce

When approaching divorce, emotions, tensions, and conflict are at an all-time high. Nonetheless, if you and your spouse can agree on all the divorce terms, you can save time and money by filing for an

If your divorce is contested, you must appear in court. The court will make the final decisions for you after a trial. In an uncontested divorce, the judge will likely approve your financial plans without a long trial and without ever stepping a foot in court..

2. Not Producing an Accurate Budget for Child and Spousal Support

Many spouses underestimate the amount of money they will need to maintain their standard of living after the divorce. Gather the financial information you’ll need as soon as possible, especially if your spouse has always made the financial choices. To prove your income, make copies of financial documents like account statements (include savings, brokerage, and retirement accounts) and other information that will portray your lifestyle (like checking accounts, charge card statements, and tax returns). Consider how you and your spouse will cover expenses for your children, like coaching, lessons, tutoring, or college tuition.

Finally, don’t forget to discuss how you will pay the bills paid during the divorce process, especially if both spouses’ names are on the mortgage or utility bills.

3. Forgetting to Update Estate Documents

A final divorce decree automatically revokes property dispositions to the former spouse, including those made through wills. The law considers a divorced spouse as having died before you when administering your estate. If you named your spouse as executor or beneficiary, the state’s intestacy laws will apply. You could be stuck with an outcome you didn’t consider. Check your existing wills, health care proxies, designation of beneficiaries on retirement assets, and life insurance policies. Usually, your divorce lawyer will manage your divorce, but you’ll likely need an estate lawyer to handle your estate plan.

4. Failing to Evaluate Settlement Proposals

To avoid an unfair divorce settlement, think about how it will affect your finances in the future. Decide if a cash settlement is the best choice for you or whether you’d benefit from payments over time. Remember to factor in the tax consequences. A divorce financial planner or tax accountant can help minimize the taxes you’ll pay on the assets you receive. Finally, your settlement should consider plans for continuing support payments if the paying spouse dies.

Call Stepanian Law Firm Today and Avoid the Things Often Overlooked In Divorce Agreements

We have experience with difficult divorce matters at Stepanian Law Firm and can advise you on what things to negotiate in a divorce. We treat our clients like family and provide one-of-a-kind, high-quality services to help you through the divorce process. Never worry about what will happen with your divorce again; let us manage the legal procedures while you focus on the big issues.

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