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.
Purchasing the family home in a divorce
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.
Texting and social media may make divorce easier for kids
Parents in California and other parts of the country are understandably concerned about the possible dangers and risks associated with texting and social media use. However, there's a new study that suggests texting and social media can help keep parents and children stay connected when a marriage comes to an end. Interestingly, it didn't seem to matter how well former spouses got along with one another.
Planning for a business during a divorce
California business owners often do not consider the potential for divorce when they decide to marry. Still, the presence of a business means that entrepreneurs may need to consider additional protections before or after they tie the knot. Many equity investors may even insist on protections that could safeguard the business from being divided or destroyed in case of the end of a marriage. In many cases, both spouses are deeply involved in a business' success or failure. Making an agreement does not need to mean that one spouse is deprived of the value they deserve, but simply creates a framework for fair distribution.
Planning for divorce
Married California couples may not want to think about the necessity of planning for a divorce, but it might be something to consider. According to statistics, the rate of divorce in the United States is at almost 50 percent. This means that nearly 2 million divorces occur each year. Being prepared for a divorce means understanding the divorce process and planning for what comes before, during and after a divorce.
