Divorce is not only an emotional rollercoaster; it also involves making some financial decisions. It is always stressful for divorcing couples to reach a fair divorce settlement. Here Moose Jaw high net worth farmers’ divorce lawyers can assist.
The divorce lawyers at Moose Jaw can help with splitting the assets fairly. Their expert lawyers can help you understand if you are entitled to a financial equation. In short, they can help you manage your expectation.
Ending a marriage and filing for divorce can be a traumatic experience for both parties. Uncertainty over how assets are going to be divided could add to this stress. It involves sorting out property, money, children, etc.
Hence, couples need to understand their rights and entitlements. In this article, we’ll discuss financial divorce settlements, including different types of assets. Also, you’ll get to know what you are entitled to.
What is a Financial Divorce Settlement?
The financial divorce settlement is an agreement that resolves the financial issues once the marriage is over. It determines what will happen to both parties after the divorce. You can negotiate a settlement at any point during divorce proceedings.
Meanwhile, you can list out all the marital assets and discuss the terms on which the assets will be split. Once you reach an agreement, it is wise to make it legally contractual. The next step is to as a lawyer to draft consent order.
This legal document confirms the couples’ agreement and needs to be approved by a judge. Moreover, it needs to be done after the decree nisi has been pronounced. After that, no one can make financial claims anymore.
The Division of Assets: Matrimonial and Non-Matrimonial Assets
Matrimonial assets or marital assets are the financial assets built up by couples when they were married. It includes;
- Family home
- Child maintenance
- Spousal maintenance payments
- Other real assets
- Cash in the bank
- Furniture and home appliances
- Mutual funds, stock, and bonds
Non-matrimonial assets are the assets attained before and after the marriage. The above assets would be considered non-matrimonial if they were acquired outside of the marriage period.
What Are You Entitled To?
Well, there are no certain guaranteed entitlements for the couples. It depends on several factors as each situation is different. The court treats each case differently. In either way, you might be entitled to marital assets.
Also, both couples need to consider the division of any loans or credit cards and liability. It is essential to reach a settlement. The understanding between couples determines how fast you can get the settlement.
In case there is no mutual understanding, the court has to intervene. It would help if you asked the court to help you split your financial affairs. In most cases, one partner tries to hide money that will not be included in the divorce settlement.
If you think your ex-partner is hiding money, ask a lawyer for legal advice. A divorce lawyer knows best how to handle such situations. Let’s say you’ve come to an amicable agreement.
Before going to court with a financial agreement order, you need to start a divorce proceeding. Make sure you do this before your marriage is over. In case of mutual understanding, a hearing is not required.
However, the judge’s decision will be final. If there is no asset to divide in the proceeding, they need to apply for a clean divorce order. So, both parties cannot have any further financial claim.
How to Prepare for a Financial Divorce Settlement?
The prior step to prepare for an agreement, you should clear up your everyday finances. A couple should agree on things like how to pay the bills further. If you have a joint account or credit card, contact your respective bank.
Make sure if any earnings or benefits are going into a new separate account. If your ex-partner is likely to increase the spending, you can freeze the cards. Also, you should evaluate your financial condition both as a couple and as an individual.
Create a draft about your current financial state. Check what you have and how you could split up everything. Give a thought about handling certain assets, such as life insurance, endowment policies, etc.
How Does the Court Decide a Fair Financial Divorce Settlement?
The court decides on a couple of factors, such as;
- Financial and emotional contribution to the marriage
- Individual assets of each partner
- Earning capacity of both
- Marriage duration
- Time outside the workplace
- The current age of both
- Standard of living during the marriage period
The court may decide on a 50/50 split which is applicable on both friendly and unfriendly settlements. This decision will not discriminate between the earner and homemaker.
However, there is no strict rule on how the settlement will be decided in the court. The court only follows the law. What you think is a fair settlement may be illegal according to the law. Above all, the reason for divorce doesn’t affect the court’s decision.
It is wise to seek mediator help to know the way forward. Moose Jaw’s independent mediator can help you reach an agreement. They can handle the division of asset cases from both parties.
If it fails, you have to apply to the court to decide on your financial affairs. In addition to this, you have to show the court that you’ve tried mediation at first. Then the court will decide depending on the current situation.