Divorce can be an extremely difficult thing to process. Not only can it be emotionally tricky, but it can also be difficult to navigate from a financial perspective. It’s important to understand what to expect when filing for a divorce, as well as the settlement you and your partner are entitled to. Here’s what you need to know about the financial implications of divorce.
Deciding to get divorced
Although you may not want to think about the divorce process in detail, it can help you finalise your decision and give you a better idea of what to expect. Consideration of the financial implications is especially important.
Matrimonial assets are acquired during the marriage, whereas non-matrimonial assets are acquired before or after. The courts will recognise this, so you won’t need to worry about losing something that is rightfully yours.
When you get divorced, your divorce settlement will take into account several matrimonial assets, including money, pension, property, vehicles and more. Financial support also comes in the form of child maintenance and spousal maintenance payments where appropriate. You will also need to consider how you plan to divide debts and loans.
How will my finances be affected in the short term?
It’s important to think about short-term costs, such as legal fees and court fees. To get the most out of your legal support during this difficult time, you may want to seek out financial settlement solicitors who can deal with your case with the compassion it deserves. Some people aim to minimise upfront fees through mediation. This is a good option if you don’t feel you need to take the divorce to court.
The court cost is £275 and is a set fee, whereas legal advisor fees will vary depending on how experienced they are. It’s worth noting that certain areas have higher fees than others.
Considering your finances in the long term
Long-term financial concerns can feel just as daunting.
If you have less financial security compared to your ex-partner, you could be eligible for spousal maintenance or a lump sum payment. This would form part of a clean break, which means cutting financial ties between you and your ex-partner at a later date after the divorce, where it is reasonable to do so.
Every divorce is different and varying circumstances across relationships mean that the outcome will look different for everyone. The courts will take everything into account so that a fair resolution is reached. For example, the 50/50 split may not be appropriate for every divorce.
Individual assets will be taken into account, as well as salary and contributions to the marriage or civil partnership, both in an emotional and financial sense.
If you’re considering a divorce and need legal support, don’t hesitate to get in touch with a family law firm with a specialist divorce solicitors. A reputable firm can help you with all the financial complications that may feel overwhelming at this stage.
