Given that the news of Amazon founder Jeff Bezos, the current richest man in the world who is about to divorce his wife of 25 years, citizens of California would not be faulted for wondering how his huge fortune will get split up. In fact, this story illustrates how the divorce proceedings of the ultra-wealthy differ from those of the average couple.
Some men in California believe they are lucky when they marry "out of their league" and tie the knot with women more attractive than themselves. However, there's research suggesting men marrying more physically attractive women may have less committed wives, which may lead to a higher risk of divorce. A social psychology professor commenting on this topic further notes that couples are not on par with one another with physical attributes tend to have romantic relationships that aren't all that successful.
A credit card company is not bound by a divorce decree. Therefore, California divorcees may find it more difficult to get rid of joint debt than to separate from their actual spouses. Ideally, individuals will take steps to divide this debt prior to getting a divorce. This could mean paying the joint balances together or transferring a portion of the debt to credit cards in each person's name.
When people in California consider divorce, some of the most common issues that can lead to the end of a marriage are financial. Indeed, 59 percent of divorcing couples say that financial issues played at least some role in the split, according to a study by Experian, the credit bureau. In addition, 20 percent said that finances were a major issue, and 26 percent said that credit scores and handling of credit were a major obstacle in the relationship.
Couples in California who are going through a divorce may need to get ready to make changes to their budget. This is because they will be living on a single income as opposed to the combined income they were afforded while married. In some cases, an individual will be required to pay alimony to help the other spouse maintain their standard of living after the marriage ends.
It is a well-known fact that divorce can lead to financial problems. However, there are several mistakes that soon-to-be exes in California can avoid to make their long-term financial prospects better.
When parents in California decide to separate, their primary concern may be the children. Some parents may worry that a divorce could be emotionally damaging. However, experts advise that when parents pay attention to their children's emotional needs, they can help ease the transition.
Most people in California likely view couples living together before marriage as normal and even a good idea. Survey results in one report indicated that 65 percent of Americans approve of cohabitation, but researchers continue to identify living together prior to marriage as a risk for divorce.
For many California residents, money can play a major role in the success of their relationships. The results of a survey of more than 2,000 adults that was conducted by a leading bank indicate that money is the main cause of tension in a relationship. The research also indicated that 35 percent of people identify finances as the leading reason for discord with their significant others.
Due to changes put in place by the Tax Cuts and Jobs Act, divorce could soon be more expensive for California couples. This act changed both how exemptions for children are claimed and the tax status of alimony. Experts say it ultimately could mean less money for some ex-spouses.