Good News for the Lower Earning Spouse There is good news for the lower-earning spouse who is worried about receiving her share of the 401k or pension. Thanks to ERISA, special rules exist and eliminate an ex-spouse from standing in the way of receipt. The use of the qualified domestic relations order (QDRO) is based on federal law under ERISA (Employee Retirement Income Security Act) which gives … [Read more...]

Pension Benefit Considerations for a QDRO Review You made it through the negotiations and are ready to move on in your life. As part of the settlement, you are to receive a portion of your spouse’s pension (defined benefit plan). You are presented with a qualified domestic relations order (QDRO) to review. How do you know it is done correctly? Does it protect your share of the future … [Read more...]

No one wants to think about being old and needing constant assistance. No one wants to see their assets depleted by the cost of in-home care or nursing care that lasts for several years. Nor do most people wish to go through divorce. Fortunately, a viable strategy does exist to help supply the needs of both the person needing nursing care and the spouse left in the community. The current … [Read more...]

Texas Alimony Law Now Much Less Restrictive In September, 2011 Texas alimony laws changed dramatically. In the past, alimony (often called spousal maintenance in Texas) was very restrictive. To qualify for alimony a couple had to be married more than ten years, and the maximum payment was $2,500 a month. Payments were allowed for only three years. The old laws could penalize the spouse who had … [Read more...]

As in many states, divorce in Texas is increasingly being resolved through alternative dispute resolution. Alternative dispute resolution allows parties to resolve disagreements without the need for formal court appearances and litigation. Alternative approaches to divorce in Texas include divorce mediation, collaborative divorce, and divorce arbitration. Many people ask what the difference is … [Read more...]

Divorce financial planners are there to make sure that all of the details are taken into account and taken care of for the family during their time of need. While this is certainly a stressful time for everyone involved, the pecuniary aspects of the marriage can be handled with ease by consultants who have the expertise, know-how, experience and education which will allow them to be dedicated to … [Read more...]

By Ronald Lipman November 11, 2011 Q: I have discovered that my wife has $43,000 in consumer debt - $13,000 for a student loan for our son, and $11,000 with a credit union. (I did not sign for the credit union loan, but both names are on a joint account with the credit union.) The balance is on a variety of credit cards, all of which are in her name alone. What are my liabilities should my wife … [Read more...]

Stocks and Bonds, Capital Gains As a general rule, the transfer of property from one spouse to the other is free of taxes when done because of divorce; but without considering tax ramifications, a 50/50 division could seem to be fair, when it is not. Be sure to work this out with a specialist in divorce financial planning to understand the long-term outcome. 401k Plans (Savings Plans, Profit … [Read more...]

Divorce settlement is seriously complicated by the existence of a closely-held business. The business can be a professional practice (medical, dental, accounting, attorney, real estate brokerage) or a retail outlet (restaurant or shop,). To further complicate matters, the business is usually a source of income for the family as well as an asset subject to division. Each type has its own set of … [Read more...]