Many individuals in Colorado and elsewhere invest a great deal of time and money into preparing for life after retirement. While forming a strategy for this period in life may be essential, covering every possible scenario could prove difficult at best. For individuals who are going through a divorce, understanding how the process of property division might impact their retirement plans could help them avoid potentially devastating consequences.
Divorce is typically a challenging process, regardless of the value of assets to be divided. Advisers in Colorado might say divorcing spouses should leave their emotions at the door during the property division process, and that advice is never more valuable than when there is a family business involved. This is one time when the focus must be on the future rather than on the past.
No one walks down the aisle anticipating a divorce. In reality, however, nearly half of all Colorado marriages will eventually end in divorce. For couples who call it quits in their 20s, the process can be hard to weather. It's important to understand that there are also benefits to divorcing early in life -- a simplified property division process ranking high on that list.
Statistics suggest that millennials in Colorado and other states are more likely to embrace prenuptial agreements than other groups. In particular, young women are beginning to seek these marital contracts in growing numbers. Researchers are trying to determine why this demographic is taking a different approach to marriage, divorce and property division than their parents and grandparents.
Many Colorado couples focus the bulk of their divorce efforts on dividing marital wealth. What they often forget, however, is the role that debt plays in the property division process. Understanding how debt factors in to the big picture can help spouses make wise property division choices.
Although it is not par for the course, some people get incredibly creative in the art of hiding assets in a divorce. Colorado spouses might be smart to be suspicious, and get help to make sure they receive their fair shares when it comes to property division. The opportunities to hide assets are endless, especially if one spouse has a business. The first place to look might be his or her office for artwork and antique furniture acquired with marital cash and then under-reported.
Building a successful business takes an enormous investment of time, energy and financing. For many Colorado residents, those expenditures are at risk of loss during a divorce. In order to avoid excessive losses during the property division process, it is necessary to obtain a thorough evaluation of all business assets.
When a Colorado couple decides to go their separate ways, reaching an agreement on how to divide marital assets is a big focus of the divorce process. For those who have pets, provisions are often included regarding pet care and expenses. If those terms are not met after the divorce is made final, the matter may go before a court of law. An example is found in an unusual property division disagreement regarding a particularly pampered pooch.
Going through a divorce is never a simple or easy process, even for Colorado spouses who are ready to move on to the next phase of their lives. When making divorce decisions, especially financial ones, it is essential to consider one's long term interests, in addition to short term financial needs. That is especially true for individuals who are nearing retirement age. The following property division approaches can help support retirement planning efforts.
When faced with a divorce, many Colorado residents will go to great lengths to preserve some semblance of calm and normalcy in their otherwise tumultuous lives. That may include making every effort to hold onto their family home, even when other assets are more financially favorable. When one spouse wants to keep the home, the other spouse must agree to accept his or her share of the home's equity through other assets. Refinancing the home in the retaining spouse's name is almost always part of the property division agreement.