People in Georgia who get a divorce when they are close to retirement age might be worried about its effect on their retirement, but even younger people may find their retirement savings endangered by divorce. In most divorces, a spouse is entitled to at least a portion of retirement savings.
Some Georgia residents may be aware that the founder of Amazon, Jeff Bezos, is getting a divorce. The richest person in the world, Bezos is giving his wife 4 percent of the company stock. Their current value at around $35 billion makes her the world's third-richest woman. If the settlement goes through as planned, it will be the largest one in history.
Dividing assets may be challenging in a divorce case. However, if a married couple owned a business together, this could make the property division process even more complicated. While Georgia law may provide guidance, the parties to the divorce itself should take steps to ensure a smooth division of the family business.
A couple getting a divorce in Georgia often has to divide marital assets that include joint financial or investment accounts and the home that was shared during the marriage. Even something like jointly accumulated debt is fairly easy to split since it's not too difficult to document it. But when marital assets include virtual currency known as cryptocurrency, the process of divvying everything up can quickly become complex thanks to unpredictable values and other unique factors.
In Georgia, gray divorces are on the rise. Gray divorce is a term referring to an older couple with gray or white hair. Once the spouses pass the age of 50, they obtain a gray divorce. Also known as diamond splitters and silver splitters, divorced older spouses were initially referred to as gray divorcees. Although fewer couples have been obtaining divorces during the past two decades, gray divorces continue to escalate.
When a wealthy Georgia couple decides to end their marriage, the high stakes could inspire lengthy disputes and costly court battles. Such drama is not inevitable, however, as long as the spouses manage their emotions and embrace compromises. Individuals with a high net worth might also run companies, and they should consider how the divorce could impact operations and profits.
When Georgia couples get a divorce and have a 401(k) or pension to divide, they will need a document called a "qualified domestic relations order". This is one of several steps they will need to take in dividing these types of assets while avoiding paying unnecessary penalties or taxes or one person getting more than an equitable share of the account.
Individuals going through the divorce process in Georgia may need to consider how they will share custody, who will get ownership of the home, and how they will divide shared assets. The situation becomes more challenging when one or both spouses are entrepreneurs. In this case, one's business could be the largest asset that they have.
For many Georgia estranged couples, the question of how to divide credit card debt in a divorce can be just as critical as how marital assets will be split. Many wealthy couples have significant debts, and it can be important to account for this as part of the property division process. One of the most critical items to consider is jointly held credit card debt. Joint cards belong to both spouses as co-owners, so both are liable for the full amount owed. Therefore, many financial experts advise that joint debt should be eliminated as part of the divorce agreement.
After parents in Georgia get a divorce, one may be able to claim head of household and claim a tax credit for their child. However, determining how this is done can be confusing.