If you and your spouse in California are getting a divorce, you know that dividing your assets and your debts will be something you need to do. Finding a way to agree on the value of different assets is an important part of this process and must be done before you make a final decision about who will receive what assets or who will be responsible for which debts. There are some situations in which the determination of asset value can be anything but straightforward. These are times when the use of a forensic accountant may be useful to you.
California residents probably know that they live in a community property state. This means that marital property is divided equally when a couple gets divorced. There may be some exceptions to this, such as when a prenuptial agreement outlines other provisions. Student loan debt may also raise unique situations and might or might not fall under the need to be equally split.
If you are one of the many people in California who is getting or has gotten a divorce after the age of 50, you might just have more to be concerned about than your younger divorced counterparts. It has long been known that divorce can be an emotionally grueling experience. Some research has even identified a higher level of depression in divorced people than in those who have been widowed.
A common perception of divorce cases in San Francisco may be that those involved look to dig their heels in and hold out for as long as is necessary in order for them to secure the settlement terms that they want. Yet often this "winner-take-all" attitude misses the general purpose of divorce proceedings, which is to formally end a marriage with both sides leaving in similar financial positions. While that might include one spouse paying their other alimony, such assistance is not meant to serve as punishment against that spouse, but rather a temporary means for the other to support themselves until they are able to secure gainful employment.
If you are like many people in California who are separated, in the process of a divorce or already divorced, you can be realizing that your financial situation is not as positive as it was when you were still married and living under one room with your spouse. The sheer need to support two households on the same income that previously supported only one can be a big contributor to this situation. Then, many people find that they have to part with assets in a divorce, pay child support or even make spousal support payments, all of which further reduce the amount of money a person has to live on every month.
Married people who live in California and who become suspicious that their spouse is not being honest with them financially may often wonder what they can do about their concerns. If the couple is still married, these suspicions might point to an impending divorce. If a couple is in the midst of a divorce, the concerns may raise a flag about the legitimacy of the divorce negotiations that are currently underway.
When you divorce your one-time partner in California, you will undoubtedly need to work through certain matters, such as who is going to keep the house, whether one party will need to help support the other and so on. Increasingly, though, many divorces are becoming contentious with regard to who gets to keep the family pet, and the state has recently changed the way it handles these situations.
If you are like a lot of married couples in California, one person may take the lead in handling your family's finances. This might be because one of you has particular expertise in this area or because one of you has a history of not managing money well. Regardless of the reason, Forbes indicates that this type of imbalance may open the door for the person who takes care of the money to hide assets from the other person. This can be especially harmful to one's finances if this happens leading up to a separation or divorce.
Spouses in California who are experiencing significant financial challenges and who are also contemplating ending their marriages may need to carefully assess their options for how to manage their debt before making any decisions. Some people might need to consider filing for bankruptcy but they should understand some of the ramifications of doing this before or after they file for divorce.
People in California who have known other couples that got divorced may have witnessed these couples selling their homes during the divorce process. It is common for this to happen although selling a home is not a requirement of getting divorced. Understanding the factors involved in the decision about what to do with a home when a marriage ends is important for anyone who may be headed toward divorce.