California residents who decide to get remarried should be aware that there can be financial issues that have to be addressed. This is because people who get remarried tend to have more financial assets than they had the first time they were married. It is also likely that they may have lingering financial complications from a previous marriage. The situation can become even more complex when there are adult children.
Finances and getting remarried
Student loans can threaten health of marriage
As California residents know, the costs of a college education have risen steadily over time. Paying for that education often comes with steep loan amounts that keep rising. What might be surprising to know, however, is the threat that student loans can pose to marriage.
Options with Social Security after divorce
Older married couples in California often depend entirely or partially on Social Security benefits to cover living expenses. Even when one spouse has not worked or qualifies for lower monthly payouts, they may still be able to collect up to half of their spouse's full benefits. The ability to do this doesn't necessarily end after a divorce.
Purchasing the family home in a divorce
Couples in California who are getting a divorce and who own a home will have to decide how they should handle the home in the divorce. For divorcing spouses who want to purchase the home, there are some factors they should consider first.
Couples more likely to divorce if husband earns less than wife
It's 2019, and nearly 40% of married women earn more than their husbands do, according to the U.S. Bureau of Labor Statistics. Unfortunately, research shows that this financial situation puts a strain on many heterosexual marriages and pushes some couples in California and elsewhere to file for divorce.
Community property laws protect stay-at-home moms
Women who have sacrificed their careers to raise families are often at a disadvantage when they divorce, but they are better protected in states like California that have community property laws. While most states require marital property to be divided equitably, it must be divided equally in states with community property laws. This subtle distinction can be crucial in divorce cases involving stay-at-home moms because what is equitable in these situations is open to interpretation.
Certain behaviors can harm a marriage over time
Actions such as stonewalling, avoiding conflict or invalidating a partner's feelings can often lead to divorce, according to relationship experts. However, many spouses in California do not realize that they are engaging in these behaviors that could destroy a marriage.
What to do after a divorce
California spouses who are going through a divorce may be relieved when the process is over. However, they should be aware that there are certain actions they will have to take after the divorce to ensure that everything is in order so that they will be able to get on with their new lives as unmarried individuals.
Cryptocurrency assets present challenges in divorce
Some California spouses who are going through a divorce may attempt to hide cryptocurrency assets. This is a growing issue as cryptocurrency becomes more popular. However, it is still far enough out of the mainstream that few people have experience dealing with it as an asset in divorces. Even when a partner is forthcoming about cryptocurrency assets, another problem that could arise is getting an accurate valuation. This is because cryptocurrency value can fluctuate a great deal.
IRS rules for divorced parents who claim dependent children
A divorce requires California parents to decide who gets to claim the children as dependents on federal tax returns. Claiming children could produce significant tax savings via the Dependent Care Credit and Child Tax Credit. A custody, divorce or separation agreement can specify who gets the privilege of claiming the dependents. In the absence of such an agreement, then IRS rules determine who can claim children on a tax return.
