Even amicable divorces can be difficult on parents and children in California. All parties often experience real sadness and, in many cases, anger over the dissolution of a marriage. These emotions can surface during the holiday season, particularly during the first few years after a divorce.
For parents in California who divorce, there's no denying the fact that the end of a marriage can affect children. Typically, most parents want to minimize the stress that often goes along with legally splitting as much as possible regardless of how they may feel toward one another. One way some couples are achieving this goal is with what's termed "nesting" or "birdnesting."
Many couples in California who hoped that their marriage would last a lifetime end up getting divorced. Divorce can be quite costly. There are several ways that divorcing spouses can avoid setting themselves up for future financial failure.
Couples in California who are considering getting a divorce may need to consider how the Tax Cuts and Jobs Act will impact their lives after their divorce if their divorce agreement is signed after 2018. There are number of provisions in the legislation that include changes to deductions, exemptions, federal tax rates and the Alternate Minimum Tax limit. However, there is also language in the TCJA that divorcing couples should be particularly aware of, specifically those dealing with alimony and child support.
Prenuptial agreements have emerged as an acceptable method for couples from all types of backgrounds in California to talk about financial issues. Poor communication and money disputes represent two of the top motivations for divorces. However, discussing divorce issues prior to a marriage gives partners an opportunity to express their views free of the emotions and stress that accompany the end of a marriage.
Statistics suggest that more and more older spouses in California are considering divorce. The divorce rate for adults 65 and older has tripled since 1990. For the 50 and older age group, it has doubled during the same time frame.
At the start of every school year, California kids have to deal with a host of new challenges. Unfortunately, children of divorced parents face additional hurdles as they begin the school year. By planning ahead, however, divorced parents can help to minimize their children's anxiety.
As the tax laws change regarding alimony for divorces concluded in 2019 or later, many people are looking toward individual retirement accounts as a way to create fair settlements that preserve tax benefits for both parties. When the shifting of the tax burden for alimony goes into practice, the current environment that encourages generous support payments through a valuable tax deduction will change considerably. However, both parties will still be looking for a solution that provides a measure of tax protection for the paying former spouse while providing needed funds to the recipient.
For many California couples, considering getting a divorce may be a major step towards the realization that their marriage is about to end. While former couples should never rush to divorce unless there is violence or abuse in the marriage, waiting to get a divorce finalized in 2019 versus 2018 could have an impact on the former couple's finances, especially if one person wants to keep the family home.
A divorce can leave California residents with legal bills and children to raise on a single income. However, it can also provide a person with a significant asset in the form of the marital home. In many cases, a custodial parent will keep the home to provide stability for any children a couple had while married. Every time a mortgage payment is made, a homeowner increases his or her equity in that asset.