A year ago there were half as many divorce cases as there were marriages. Of the marriages, more than one third needed a remarriage for one and also both partners. While marital life seems to be out of trend, chances are that the statistics to get de facto relationships are found as bleak.
Under present legal requirements, if a relationship has held up for at least three years, the 2 main major parties have equal protection under the law to the property unless they may have previously entered into a contracting out agreement for all the division of property.
While it may just be good for the children to stay in that family home, it may be unaffordable. Need not in a rush to cash all the way up insurance policies or investments without checking on how much you will eliminate by way of accumulated bonuses or withdrawal fees.
The starting point is to develop a list of everything you own and everything you owe as in the date of separation. Ones assets should be valued for what they are worth for the date of separation, certainly not what they were purchased meant for.
Gifts, personal elements such as jewellery or fashion, and inheritances that have not been mingled with various property should not be included within your list as these are not really usually considered to be relationship property. For some assets, such as the home or business or special items such as artwork and antique furniture you may need to pay for an independent expert to provide some valuation.
Deciding which assets to keep and sell and how to split the retained assets requires careful consideration. Living costs will be higher after a separation, so before you commit to taking on any family home and mortgage, make a new budget.
It is quicker to make good decisions about your money when some time has elapsed and emotions get settled. Depending on the complexity of the affairs it can take several months or even just years to reach a final deal of your financial affairs, particularly if one party is unco-operative. Don’t forget to update your definitely will as a separation or divorce does not override its contents.
Separation and divorce happen to be traumatic and highly developmental events but somehow, practical issues such as what happens to the kids, the house and the revenue need to be sorted out. In the event you in the process of separating or contemplating separation there are some actions that will make sorting away your financial affairs less complicated.
Similarly, your debts should be appraised in terms of the current balance departed to pay. Your list will include the value of insurance policies, money, superannuation schemes and business owners owned as well as your house and contents, vehicles and lender accounts.
There will also be penalties associated with early repayment of debt (eg house loans and personal loans). After getting agreed who will own of which assets, make sure the property transfers for your major possessions are completed properly by notifying the relevant police or in writing.
To avoid quarrels about dividing bank account income, you should keep an accurate record of all financial transactions after the separation date and right up until a settlement is agreed. If you opt to take a cash payment from your partner as part of your settlement, indicated into a short term deposit because you consider your options.
Joint lender accounts and credit cards is a source of trouble, particularly if all the split is acrimonious. Generally, if your bank is made alert to the separation, it will get cold joint accounts until a great agreement is reached. This tends to prevent one partner as well absconding with the bank account takings or running up large credit card debts.
For some people, heading in a new relationship might be the very first thing on their minds, for some it is the last thing. Whatever the case, get some legal advice on how to best protect your now halved assets in future family relationships, otherwise you may find them getting halved again!