If you are going through a divorce, one of your biggest logistical concerns will probably be the division of your property. Since couples tend to accumulate assets over the course of their relationship, the process of dividing those assets is often a complicated one. Each state has its own rules and regulations concerning property division and Florida is no exception. However, before you can reasonably consider how property will be divided, you must first understand the different types of property.
There are numerous financial issues to consider before filing for divorce. A couple may focus on divvying up their assets, but debts also need to be considered during the process. As an equitable distribution state, Florida courts do not necessarily divide marital property equally, but both assets and debts will be allocated in a manner in which the judge deems to be fair. Those with student loans might be expected to share in those obligations based on various criteria.
Today, many Florida couples are choosing to live together instead of getting married. While some do so as a stepping stone on the way to eventual marriage, others just don't feel like tying the knot. Some of these couples decide to purchase homes together, and there are reasons why they might not want to do so.
When a Florida couple obtains property during their marriage, the couple's decision of what to do with that property during a subsequent divorce can be complicated. Neither party should allow their emotions to control their decision. For example, if the marital house is too large for a single person and the couple has no children living at home, it may be a good idea for them to sell the property and divide the proceeds.
Florida couples may be interested to learn that the number of "gray" divorce approximately doubled between 1990 and 2014. The term refers to marital breakups involving people who at at or over the age of 50. Many of these individuals were together for many years and often amassed real estate and other assets throughout their marriage.
Dividing a house during a divorce can be so complicated that some ex-spouses in Florida are actually choosing to keep living together. Although cohabitation after a divorce may sound impossible to some estranged couples, others find themselves in a situation where they are 'house poor" and have no other option.
Florida couples who are divorcing may find it wise to reassess how they deal with the home that they own. As part of the property division process, many elect to sell the home and share the proceeds. When they do, it's important that they decide if they can come to an amicable agreement and whether selling is actually in the best interest of both individuals.
Property division is often one of the most contentious issues in a Florida divorce-particularly when significant assets are involved.
A Florida couple might find that forming and running a business can be an exciting venture that allows for more time together while providing for the family's financial needs. However, relationship issues can make a family business difficult. If divorce becomes a consideration, there are major challenges to face in dividing an asset such as a joint business. There are several ways of handling a family business in such an event, and the best option will depend on each spouse's goals.
Florida residents who are going through the divorce process should be aware of some costly mistakes that are often made before a divorce is finalized. It is important to anticipate the tax liabilities that may be incurred when a portion of a retirement plan is transferred pursuant to a qualified domestic relations order. Any time the former spouse takes a portion of his or her benefit in cash, there is the potential for an early distribution penalty as well as income tax liability.