Some people in Georgia who are getting a divorce may need to get new medical and life insurance. Often, higher-earning spouses have the lower-earning spouse on an employer-sponsored health insurance plan. The spouse may have the option to extend the plan through COBRA, but this is both temporary and expensive. The Affordable Care Act may mean that less costly options are available even if the person has a preexisting condition.
With the passage of the Tax Cuts and Jobs Act, Georgia parents can no longer use the personal exemption when filing their tax returns. However, they can take twice the amount for the child tax credit, $2,000 instead of $1,000, along with the Dependent Care Credit.
When Georgia entrepreneurs start a business, they can include language in the company's organizing documents that specifies that if there is a divorce, the business cannot be transferred to their spouse. However, if the person has already started the business, a pre- or post-nuptial agreement may also offer protection.
A Georgia resident who is on the fence about getting divorced may be silently encouraged to separate by their friends. If friends have already gone through divorce, one might see that separation can be a way to move forward as opposed to a bad way to end a relationship. Individuals may look even more favorably on divorce if a friend's split was amicable or relatively free of drama.
When Georgia couples think about divorce, they may be especially concerned about the financial ramifications of ending a marriage. Not only does divorce come with the division of marital property, but alimony could also be part of the final settlement. Depending on the situation, spousal support may be temporary or long term.
Divorcing couples in Georgia may experience some anxiety regarding their finances. They should begin by examining their expenses, liabilities, income and assets.
Getting a divorce in Georgia is more complicated than most people realize. After spending years with a spouse, a divorcee might not be sure what their financial future has in store for them. That is why it is so important to figure out one's finances as soon as separating becomes a real possibility. Splitting assets is much easier when both parties know all of their rights and responsibilities.
When people in Georgia decide to divorce, the financial effects of ending a marriage can be some of the most difficult to deal with, even beyond emotional and practical concerns. Ending a marriage can force difficult financial reckonings for both spouses, especially when it comes to learning the full extent of family debt and making changes to support fiscal sustainability as a single person. One recent study of 1,750 divorcing women looked at the kind of financial surprises that can accompany a divorce, especially as nearly half of the participants said they faced unexpected changes.
Some future exes in Georgia may have concerns about how getting a divorce will impact their finances. However, there are some proactive actions they can take to mitigate any financial complications that may arise.
During a divorce, a Georgia couple may make a number of decisions regarding the division of their marital property and how much in alimony one spouse may pay. Under the current tax laws, alimony is deductible by the payer and taxable to the recipient. However, this will change starting in 2019.