As far as divorce goes, finances may be at the top of the list of concerns for couples in Tennessee that have decided to split. There can be a financial adjustment period for those who are moving from a two-income household to a single-income household. There is no doubt that the economics of two-income living are different from a single-income household. This is why it is so important for the divorce decree concerning the finances to be clear, concise and upheld by both parties.
In order to achieve equitable division during property division, it is important to have a full and complete understanding of marital property and non-marital property. This helps account for each asset and liability in order to achieve equitable division between the parties. Once this is decided, the arrangements are laid out in a divorce decree. This is a legally binding document and must be followed by both parties.
The adjustment period after divorce can become more difficult if one party does not uphold their end of the divorce decree. For instance, if an investment account was to be moved from one spouse’s name into the other spouse’s as outlined in the divorce decree, the spouse must transfer this asset. However, sometimes people do not always do what is required of them. This is why it may be necessary in some cases to pursue a legal enforcement, in order to force the ex-spouse to uphold his or her end of the property division bargain.
Without the correct asset allocation, it can make newly single divorce finances even tougher to balance. Counting on money or assets according to a divorce decree is not the norm, but it is a possibility for the newly divorced. Preparing for any possibility is a good strategy since divorce can be unpredictable for some couples. Remember that each divorce situation is different and will require specific attention to different areas depending on the state of the individual’s finances.
Source: time.com, “Why post-divorce finances are trickier than you think,” Lili A. Vasileff, Nov. 18, 2015