Your financial settlement is the way your assets and debts will be settled in the event of a divorce. This is the amount that you may be expected to contribute towards maintenance.
This article will cover the following topics in this piece: matrimonial and non-matrimonial property, financial assets such as stocks, bonds and real estate, and child maintenance as well as the payment of support.
Matrimonial assets
One of the most common issues in divorce cases is deducing the worth of the assets that are part of the marriage. It can be a challenge because assets often become commingled and mixed up during the wedding.
If you've signed a postnuptial or prenuptial contract which states that some assets are to be treated as separate as well, you'll both own the marital assets. The courts will equitably divide your marital assets between both of you in the event of divorce.
It can be hard to assess the value of an asset because they tend to appreciate over time. This is especially true for heirlooms, art pieces or collectibles as well as other precious things. The justice will make use of a mixture of approaches to calculate the worth of a property. This could include a an income-based approach, cost method and the replacement value. In some cases the services of a valuation expert might be necessary to provide an expert opinion regarding the worth of a particular asset.
What was done to acquire an asset will also affect its worth. If you are bringing a piece of art to the marriage and urge your spouse to make it better and more attractive, and condition, you may have some impact on its worth to the future. It may have an positive effect on your equitable distribution of assets, if you boost its worth.
If you purchase an item together with your spouse for a joint investment by using money made during wedding, it may improve its value, and eventually become marital property that is that is then subject to equitable division following divorce. It is essential to keep separate your personal and marital accounts. This is even more important in the case of trying to safeguard a prized financial settlement property, like an old, classic vehicle purchased by you with money earned prior to your marriage.
Additionally in the event that your personal property is used buy an item that is classified as marital property, it could result in a comeling. For instance, suppose you have a savings account that holds money was earned prior to marriage and then you join your spouse's name to the account, and grant them access. You can turn your separate assets into marital ones since you've joined them together and transformed money that was not marital into marital.
The claim of dispersipation
Another major aspect that can impact the value of an asset could be an assertion that one person misused or squandered assets during the marriage. Infidelity when divorced is a common factor. If your soon-to be ex-spouse could establish that they have wasted marital assets and so diminished the worth of the property, they can award the asset to them in the form of a settlement for financial issues.
If you are considering valuing assets to be distributed in a fair manner what is most important to remember is that no approach to evaluating an asset can be considered to be right or wrong. Talk to a seasoned family lawyer to ensure that your assets are treated equally. We can assist you in identifying the assets you have, determine the most appropriate way to deal with them in the divorce process.