More common for wives to pay alimony

Wisconsin residents might be interested to hear that it is becoming more common for wives to be ordered to pay alimony to their ex-husbands in divorces. Husbands and wives do not necessarily have the stereotypical marriage arrangements that they used to have in the past. Traditionally, wives stayed at home while the men were the primary breadwinners. Now, however, wives may be the primary breadwinners, or both spouses may earn income equally.

Alimony was originally designed to allow the spouse who stayed at home to care for the home and children to continue living in the lifestyle he or she had become accustomed to. Traditionally, the woman was the one who received alimony from her husband during a divorce. With studies reporting that over 40 percent of the wives who work earn more than their husbands, that trend is beginning to shift. This makes it so that some husbands are, in fact, receiving alimony from their wives rather than the other way around.

Experts say that many women, like men, do not like having to pay alimony to their ex-husbands. This is especially so in cases where both the husband and the wife worked, but the wife simply earned more than the husband. Some people are advocating for the removal of alimony altogether in an attempt to make divorces as de-genderized as marriages are becoming.

Family law lawyers may be able to help people who are going through the divorce process ensure that they receive a divorce settlement that is in their best interest, and they may be able to help a couple negotiate issues such as alimony, property division, child custody, child support and other divorce matters throughout divorce proceedings.

Source: TIME Ideas, “The De-Gendering of Divorce: Wives Pay Ex-Husbands Alimony Too Read more: http://ideas.time.com/2013/05/16/the-de-gendering-of-divorce-wives-pay-ex-husbands-alimony-too/#ixzz2TrG4sEau“, Liza Mundy, May 16, 2013

Dividing assets in divorce

A Wisconsin resident contemplating divorce may have many questions about the division of marital assets. Wisconsin is a community property state, meaning both spouses are considered to own all marital property equally. When marital property is divided upon divorce, a 50-50 split is the standard, regardless of each spouse’s individual financial situation. So what does marital property include?

Essentially, marital property consists of all assets and income acquired by one or both spouses during the marriage. It includes things like bank accounts, investments, retirement plans, business assets, stock options, real estate, and vehicles, regardless of whether title to the property is in the name of one or both spouses. Property owned by either spouse before marriage generally is not considered marital property unless it was commingled with marital assets. For example, if one spouse owned a home prior to the marriage and put the other spouse on the title after marriage, the home would be considered marital property and subject to division in divorce.

Certain assets acquired by one spouse during the marriage also may be considered that spouse’s separate property, provided the separate property was not commingled with marital assets. These include a gift received by one spouse from a third party, money or property inherited by the spouse, and damages awarded to the spouse for pain and suffering in a personal injury action. In some cases, any increase in the value of separate property during the marriage may be deemed part of the marital estate subject to division, particularly if the increase was due to improvements made using marital assets.

Finally, the marital estate also includes debts incurred by either spouse during the marriage. Just as each spouse receives an equal share of the marital assets upon divorce, the couple’s debts also are divided between the parties. Rather than let the court decide who gets what in a divorce, many couples opt to pursue an out-of-court settlement with respect to the division of marital assets and debts.

Source: Huffingtonpost Divorce, “Understanding how assets get divided in divorce“, Jeff Landers, June 14, 2013

In divorce, being right does not always mean being happy

Wisconsin divorces often become more complicated when couples lose focus of what might be best for both parties and their children. Some couples concentrate on the wrongs they feel they’ve suffered. The emotions related to these perceived wrongs can be so intense that they only serve to add drama to the divorce negotiations.

Sometimes, the emotions related to a divorce can overpower the couple’s sense of clarity. It is during moments like these when perhaps the best person to ask about the situation is a disconnected third-party who can look at the situation and clearly see what would be best for those involved.

Making decisions based on emotions can sometimes be very volatile during a divorce process, leading to negative outcomes for those involved. Sometimes, it is better to negotiate without going to court. A legal battle over maintenance, child support or the separation of family assets can become costly, both in time and money. Additionally, it can also cause stress and even more more emotional pain. Asking a lawyer for advice on achieving fair negotiations and avoiding lengthy legal battles can be the best way to find a solution that is beneficial for all parties involved.

Because emotions can be so overwhelming during a divorce, couples have the option of filing for a Temporary Hearing to address issues such as payment of bills, maintenance and child support, child custody and even the use of the family’s residence and automobile at the beginning of the process. There are many laws regulating the divorce process, and a lawyer can be a valuable asset to navigate them.

Source: WiCourts, “Basic Guide to Divorce/Legal Separation”

Source: Huffington Post, “Do You Want To Be Right Or Do You Want To Be Happy?“, Debbi Dickinson, June 18, 2013

What happens to frequent flyer miles in a divorce?

Negotiating a divorce settlement in Wisconsin can be an all-consuming process as the parties value and divide the assets of their marital lives. While couples expect to negotiate the division of real estate assets, bank and retirement accounts, and stock portfolios, they also need to be prepared to negotiate the division of more unique marital assets as well, including automobiles, jewelry, art and frequent flyer miles.

While squabbling over an item as mundane as frequent flyer miles might seem cliched, it does happen with surprising regularity during the negotiation of divorce settlements. The miles and reward points accumulated as a result of airplane, hotel and credit card rewards programs can be hard to value. Further complicating the matter is the fact that many rewards programs do not permit its participants to transfer or divide the accumulated rewards points and frequent flyer miles.

The program’s terms and conditions will determine how frequent flyer miles and rewards program points are to be valued and divided. Programs that assign a dollar value equivalent to their points make negotiating a settlement easier. If no dollar value equivalent is assigned to the rewards program points, a value can be assigned based on the value of the item the points can purchase.

Establishing a complete and fair divorce settlement requires a comprehensive analysis and valuation of all marital assets. Maintaining a detached, business-like approach to the division of assets is an important part of the process because making decisions based on emotional attachments to property can mean that a spouse may walk away from higher-valued assets in favor of a sentimental item cherished by the other spouse. A divorce attorney may be able to help make practical decisions regarding the division of marital assets and may be able to help a divorcing spouse receive a fair divorce settlement.

Source: Forbes, “Divorce: Who Gets The Air Miles?“, Jeff Landers, June 26, 2013

What is the future of alimony?

Wisconsin residents who divorce may no longer have to pay or receive alimony in the future, and if they do, it may be under completely different circumstances. In the last few years, the idea of eliminating or changing the way alimony works has gained ground. While the goal of alimony is to ensure that a husband or wife who sacrificed their career to take care of their family are still taken care of in the event of a divorce, many say the process is unfair and sometimes even abused.

In some cases, court ordered alimony can require an individual to pay for the rest of their life if their ex-spouse does not remarry. Additionally, extenuating circumstances, such as infidelity or substance abuse problems, are not always taken into consideration when people are being ordered to pay alimony. This is why many advocates are urging reforms that could limit the duration of alimony and add flexibility to the decision making process.

Still, not everyone is in favor of these changes. Opponents believe that changing the way alimony works could harm women because they are often the ones who end up staying at home and taking care of children instead of pursuing a career. Those who are against changes are also concerned about formulaic mandates that would keep judges from being able to make appropriate changes to court ordered alimony during a divorce.

Individuals who are going through a divorce will want to ensure that asset division and alimony payments are decided equitably. A lawyer could help someone understand state laws and their potential impact.

Source: MainStreet.com, “Is This the End of Alimony?”, Cheryl Lock, July 01, 2013

In WI, bankruptcy before divorce affects property division

Determining what course to take first when a couple decides to divorce in the Milwaukee area is often difficult under the best of circumstances. A divorce scenario becomes even more muddied when financial problems such as foreclosure and bankruptcy loom on the horizon. In most cases when at least one spouse intends to file for bankruptcy in addition to filing for divorce, attorneys will recommend that the bankruptcy filing occur before divorce proceedings are initiated. This becomes even more important when the divorcing couple’s home is expected to go into foreclosure. Filing for bankruptcy before divorce proceedings begin will eliminate clients from a myriad of financial obligations and streamline the divorce process.

In a scenario where a foreclosure looms, if bankruptcy is filed first, the spouse requesting debt relief will not be responsible for any missed mortgage payments following the filing. Wisconsin has an anti-deficiency statute, meaning that the former homeowners will not be responsible for the difference on the amount owed on a foreclosed home and the amount the property is sold for at auction. The law is complicated, however, and should be explained by a competent attorney.

Another scenario that affects the finances of a divorcing couple is the short sale of a home, where the property is sold for less than its worth. Short sales protect the credit of both ex-spouses but require the cooperation of both in order for the sale to occur.

Filing for bankruptcy before divorce is essential because it will also release the spouse petitioning for debt relief from responsibility on credit cards and other unsecured debt. Once the financial picture has settled, a competent family law firm may be able to guide clients through other divorce issues such as division of property and assets that otherwise would be in limbo because of muddied financial conditions.

Source: Fox Business, “Which Should I File First: Divorce or Bankruptcy?“, Justin Harelik, July 10, 2013

The ins and outs of prenuptial agreements

Some married couples in Wisconsin may not have prenuptial agreements. Given that nearly half of all marriages end in divorce, however, someone who is about to enter into matrimony may wish to consider getting one. Indeed, prenuptial agreements are becoming increasingly common, especially for people who are entering second marriages and for those who are getting married later in life.

A prenuptial agreement is a legal contract signed before marriage that sets out the future spouses’ understanding regarding which assets will become part of the marital estate and how property division will be handled in the event the couple later splits. When drafting a prenuptial agreement, one should keep in mind that full disclosure of all assets and liabilities is crucial to the agreement’s future enforceability. If one party to the agreement failed to disclose all of his or her assets or debts at the time the agreement was signed, a court later may refuse to enforce the agreement on the basis of fraud.

When drafting a prenuptial agreement, the parties may consider including a sunset clause. Such a clause provides that the agreement becomes void and no longer enforceable after a certain period of time or the occurrence of an event such as the birth of a child.

It is important for each party to a prenuptial agreement to have their own lawyer to negotiate on their behalf and to represent their separate interests. If a prenuptial agreement contains lopsided provisions that unfairly advantage one party over the other, it is vulnerable to subsequent challenge. A lawyer also can help ensure that the agreement meets the court’s standards. For example, celebrity couple Steven Spielberg and Amy Irving had a prenuptial agreement that was drafted on a napkin. When they divorced in 1989, the court ruled the agreement was invalid and awarded Irving $100 million. Had Spielberg consulted with an experienced family law attorney about the agreement, he may have obtained a better result.

Source: Huffington Post, “Prenup Tips: ‘Fox And Friends’ Tackles Prenuptial Agreements“, July 18, 2013

Emotional issues can lead to unwise divorce settlements

Because even amicable divorces are wrought with a variety of issues, Milwaukee area couples who are soon-to-be ex-spouses often do not make wise decisions in their negotiations. The initial sensation of overwhelming emotion can be at fault during initial divorce negotiations, leading spouses to agree to terms with which they may be uncomfortable and often tend to change months or years later in agreement modification. Being aware of common mistakes that occur during divorce negotiations can help save time, money, effort and prevent frustration down the line.

Making decisions without fully understanding the implications is the number one problem. Although it is tempting to let an attorney handle everything, including financial decisions, spouses should get as much information as possible make sure they fully understand what may happen in five, 10 or more years from now. Losing control is another problem. Never let legal counsel make decisions without consultation. Acting out of anger is another hard-learned lesson. Staying away from court battles and sticking to the facts makes the process go more smoothly.

Although the divorce process is commonly called a settlement, ex-spouses shouldn’t settle for anything less than they feel they are worth. Couples need to be fair to themselves and their soon-to-be exes. Most importantly, divorcing spouses should not lose themselves. By taking a step back, planning and researching, couples can reach smart divorce decisions.

Experienced attorneys knowledgeable about Wisconsin divorce law may be able to help divorcing couples make the transition from married to single smooth in legal terms. Although ultimately no one except the individuals involved have the ultimate control on their emotions, professional divorce attorney can be expected to remain neutral and provide guidance in even the most difficult circumstances.

Source: Huffington Post, “The 5 Worst Mistakes People Make During Divorce“, Michelle Rozen, August 24, 2013

Prepare financially for life after divorce

People in Wisconsin who have recently gotten a divorce might be wondering how they are supposed to readjust their finances to fit their new post-divorce lifestyles. There are numerous steps that individuals can take to prepare themselves for life after divorce financially. The first thing that they should do, however, is consider whether or not they will be getting any alimony in their divorce.

Alimony is extremely important to some people after they are divorced, especially if they didn’t work throughout their marriage. Alimony might be their primary support system after their divorce. However, they might want to consider planning for how they’re going to budget their finances if they don’t get lifelong alimony since many states are considering making reforms to do away with lifelong alimony and make payments last for a shorter duration.

People who do receive alimony payments might consider using those payments to subsidize their primary incomes. Additionally, they might use their alimony to fund additional education to get into a better career. People might also adjust their budgets by downsizing their homes; chances are that they don’t need as much room as they did before, and downsizing may help them cut utility and maintenance costs too. They should also consider adjusting their budget for their new lifestyle as their income might be less, and getting rid of any non-essential expenses could close the gap. Additionally, people should consider saving money to ensure that they are protected in the event of an emergency.

Family law attorneys may be able to help couples negotiate tough issues like alimony in their divorce proceedings. They might also help them figure out how to equitably divide up their marital assets and negotiate issues such as child custody and support.

Source: Fox Business, “How to Financially Readjust for Post-Divorce Life“, Andrea Murad, August 02, 2013

Taking advantage of social media during divorce

Social media can help or hurt either party in a divorce in Wisconsin, especially if they air private matters that are best left out of the public eye. However, experts are finding that different social media sites can actually help people who are ending their marriages.

First, social media can help someone going through a divorce find quick access to a number of resources, ranging from an overview of ending a marriage, child custody issues and finding lawyers. People can also find information on talking to kids about divorce, handling health insurance and what properties count as marital assets in their jurisdiction. They can check out the reputation of those they plan to hire to navigate through the divorce, such as lawyers, counselors or financial planners. Family mediators also help clients save money when negotiating a variety of issues with their soon-to-be ex-spouse, which in turn leads to less overall stress.

Second, when a parent doesn’t see their children on a daily basis, they can contact them via social media. They can communicate regularly apart from scheduled visitation. This applies even more to someone who works in another state or nation, whether military personnel or at a corporate job. Parents can set up a family site specifically to communicate with their child or just “friend” them on social media. They can look at pictures, keep up with their child’s friends and keep tabs on daily thoughts and activities. Parents can even set up visitation via some social media sites and talk about their activities.

During the break-up of a marriage, people might wonder where to find reliable information on proceeding with a divorce. A family attorney might be able to help clients work out issues, such as alimony and child custody.

Source: Huffington Post, “Can Social Media Be Your Friend During a Divorce?“, August 20, 2013