Category: General

It is becoming more and more common for couples to cohabitate without marrying. According to the Census Bureau, the rate of cohabitating couple households has tripled since 1996, and the number of cohabitating unmarried couples with children has jumped 162 percent in the same time period.

Unmarried cohabitating couples have a few more financial hurdles to jump due to their unmarried status. Why? Because marriage affords over 1,000 federal benefits and protections for the couple, meaning that there are some financial struggles that unmarried couples have to face that married couples do not. For example, spouses can share health insurance. Selling a home allows married parties to both reap the benefits of the capital gains exemption. Married couples can transfer unlimited assets between one another with no tax penalties. Surviving spouses can claim an estate tax exemption. These are just a few examples.

So what should you do if you are cohabitating, in the event that the two of you break up? Without marriage, is there anything you can do to make the process of breaking up easier on you financially? Actually, yes there is.

Draft A Cohabitation Agreement

A legal cohabitation agreement would be, basically, a prenup without the wedding ring. With your partner and the assistance of a mediator or family law attorney, draft a document that details how to divide assets and how financial support will work after a split. Additionally, discuss other legal documents that you might need in case of emergency; for example, a will naming your partner as beneficiary for assets you wish to transfer to him or her and an advance directive giving your partner medical power of attorney.

Whether you are married or not, a family law attorney can help you prepare for your financial future with your partner.

It sounds ridiculous, the idea that a divorce, much like a cold virus, can spread from one person to another. But sometimes truth is stranger than fiction, and as it turns out, some studies show that a friend getting divorced can make you that much more likely to divorce as well ”“ up to 75 percent more likely.

Why?

Relax ”“ it doesn’t work like a virus. Usually, you will only “catch” the divorce bug if you were already considering a divorce. Here’s how it works:

Your friend, who you have always discussed your relationship problems with, decides to call it quits on his or her marriage, and then you’ve got a front-row seat to the process. You get to see what divorce is like, how the process of property division happens, what it is like to discuss your case with a lawyer. The seed is planted when you see the process in person, and all of a sudden, it looks less complicated than you expected. Less intimidating. Not only that, but you know that, at the very least, you have one person you can talk to about your own divorce ”“ someone close to you that you know has already been there.

So, if a friend is getting divorced but you are worried that it might hurt your own marriage, should you separate from that friend for a while? That is entirely up to you, but don’t throw away a friend because they are getting divorced and you’re worried about your own marriage. They are going to need support and friendship from you during this difficult time ”“ and you might need them in the future.

Divorce is difficult. In your time of need, you should discuss your case with a Denver family law attorney who knows the ins and outs of divorce law.

According to The Knot 2015 Real Weddings Study, the average price of a modern wedding is $32,000. Weddings have been getting more and more expensive, for a variety of reasons, part of it having to do with an increased desire for a unique wedding.

“The larger the rock, the rockier the marriage,” as famously stated by we have no idea who. So keep that in mind if you are planning nuptials exceeding $20,000 in price. According to researchers at the University of Pennsylvania Institute for Biomedical Informatics, weddings over $20,000 make you 3.5 times more likely to divorce.

Why, Though?

Some say that a lavish ceremony could be a sign that the couple is marrying for all the wrong reasons. Some studies suggest that when men marry for looks, divorce is 1.5 times more likely, and when women marry for wealth, divorce is 1.6 times more likely. A showy, extravagant wedding meant to show off looks and wealth could end up causing financial stress for the couple when they get the bill. Money matters like debt are one of the most popular reasons for a couple to divorce.

Another idea is that by putting so much emphasis on the wedding, the couple may begin seeing the wedding not as the beginning of their journey together, but instead the highlight, only to go downhill from there. Instead of focusing on the relationship, they focus on the big day ”“ the reception, the honeymoon, the rings and dresses and tuxedos and cocktails and catering ”“ and this can sour the post-nuptial outlook.

One way to lower the costs of your divorce is to have the help of experienced legal counsel.

1. How often you have disputes about money can lead to significant stress. No matter what your income level is, disputes about money are inevitable. Maybe one person is a saver, the other is a spender, or maybe you both keep your accounts closely held and don’t really discuss it, leaving you both open to disputes when something goes wrong. Communication is key in all aspects of a relationship, so making sure that you are on the same playing field as your spouse financially can help protect your marriage.
2. Debt is another huge stressor, especially when most of the debt comes from one side of the marriage. Debt can be embarrassing, it can be difficult, and some spouses even hide how much debt they have going into a marriage which leads to an inevitable clash when the truth comes out. Maybe the compulsive spender in your relationship racks up a lot of credit card debt without saying anything, or without keeping track. This could lead to delinquencies in credit card payments, bankruptcy and even the loss of your home if it isn’t dealt with appropriately or prevented entirely.
3. Lastly, income level can lead to stress. Studies show that the wealthier you are, the less likely you are to divorce. However, the wealthier you are, the more devastating it can be when fights arise and divorce suddenly comes into the picture.

The number one predictor of divorce is contempt, whether external or internal, for your spouse. However, one other huge predictor is money. Here are three indicators regarding money that might spell doom for what could be an otherwise happy marriage.

No matter the reason for your divorce, our Denver divorce attorneys are ready to provide you with an exceptional client experience.

Often, couples who have filed paperwork for divorce and live separately hold themselves out publicly as being legally separated. But technically, that is not what is called legal separation in Colorado. Legal separation refers to a wholly separate marital status resulting from a decree of legal separation, whereas divorce occurs with a decree of dissolution of marriage.

In practice, legal separation and divorce are very similar. Both involve severing your legal and financial ties to your spouse as well as dividing property. What makes legal separation different from divorce is that you are still technically married, meaning you cannot remarry unless you go through with a full divorce.

Why on Earth would someone want to remain legally married, but separate? The common reason is a religious or moral objection to divorce. Legal separation allows these people to stay in line with their faith while also providing necessary economic independence. Some other people might use legal separation as a method of prolonging a marriage for the purposes of some other benefit. For example, Social Security applicants can receive retirement benefits from their spouses or survivor benefits if they have been married for 10 years. Legal separation can allow a couple to split up while still giving them access to each other’s retirement funds. Lastly, some couples just don’t like the word divorce. It is foreboding and stressful to even think about, while a legal separation can seem less imposing.

So, which is best for you? The best way to figure it out is, if possible, to discuss your case in mediation.

Your legal representative in mediation can help create a personalized list of pros and cons to help you pick between divorce and separation.

No part of divorce is easy. From the initial realization to the final decree of separation, it is easy to get lost in the emotional toll of your life change. These negative feelings might not just affect you emotionally, but professionally as well, if you don’t take steps to handle them. Here are some tips to help you focus on your career while dealing with divorce.

• Realize that strong emotional reactions are normal ”“ you will grieve in stages, and there’s nothing wrong with it.
• Focus on productivity while at work. Resist the urge to confide in your coworkers about your problem, with the exception of your boss. Bosses or supervisors should be accommodating and understanding if you are unable to work at 100 percent capacity for some time. Other than that, avoid thinking about your divorce at work ”“ work can be a break from your personal problems.
• Now is a good time to take care of any work you might have avoided up until this point. Tying up loose ends on work projects, planning that meeting you’ve put off ”“ putting these things behind you can help lift professional burdens to give you more room to relax at work.
• The simplest tip for managing your divorce is to quickly contact a divorce attorney in your area. Devote some time every day after work to taking your attorney’s advice and getting your documents together. Try to maintain a routine; this structured approach can help you feel more in control.

Our Denver divorce lawyers understand the worry, fear, anger and stress of divorce and strive to relieve the stress for our clients.

Gray divorce (divorce over the age of 50) can be much more difficult than a younger divorce, depending on your financial situation. It can be easier if the couple was reasonably financially prudent throughout their time together and can divorce in an amicable fashion. But if it is contentious and money matters are a problem, there can be profound problems that affect the spouses for the rest of their lives. And women are often the ones who receive the worst of the stress.

There are many reasons women can be at a disadvantage after a divorce, especially if they are over 50. It can be difficult for seniors to return to work if need be: it’s sad, but true, that seniors who lose their jobs are unemployed for longer periods of time than younger workers are, and they are offered much less money for employment. Going further, things only get more expensive the older you get, making it harder to cover essentials such as healthcare.

Why Is It Harder For Women, Though?

Statistically, men tend to earn more in their careers and as a result have larger retirement funds. One estimate by the Women’s Institute for a Secure Retirement says that men, on average, have $10,000 more in their retirement funds. $10,000 may not be a lot in a divorce case, but when you are having to fund your own rent or mortgage, your own furnishing costs for your home, your own car payments without the help of your spouse, that $10,000 could be a godsend.

How serious is the discrepancy? Research from Bowling Green State University suggests that more than a quarter of gray-divorced women live below the poverty line in retirement. Only 11 percent of gray-divorced men have that problem.

Discuss your marriage or divorce-related financial worries with a Denver divorce lawyer.

Debt is a way of life, and it can get complicated when marriage is involved. Unlike other types of marital property, debt is not a physical thing that you have to decide on keeping, like a house or a car. Here are a few strategies for handling the division of your marital debts.

1. While perhaps not the most ideal way of handling your new postmarital debt, you can eliminate debts by using your divided marital assets. Suppose you are the one who ends up with a house or a car after divorce, but you don’t necessarily need that property. Or maybe you have a boat you never use, or some expensive jewelry that you never liked. Selling off assets to relieve debt may not be the most enjoyable thing, but easing the burden of debt using property you don’t need can make a reasonable dent in what you owe.
2. Another option is to consolidate your debts. Taking out a loan to cover the costs of your credit card monthly payments may not be an option for everyone; after divorce, it can be hard to obtain an unsecured loan. In situations where you get denied a loan, you may have to branch out ”“ if you have a family member, for example, who has good credit standing, you may be able to enlist their help.
3. If you have multiple cards with differing monthly payments, you might structure your payments by placing the highest priority on the smallest owed debt. Pay the largest payment you can on your smallest card, and the minimum on the rest. Once your first card is paid off, move on to the next, until you’ve cleared your debts entirely. Note: if you are pursuing this path to eliminate credit card debt, you need to stop using the cards or otherwise drastically reduce your reliance on them. This can be hard after divorce.
4. The big one: negotiate. Unforeseen charges like medical bills can cost a lot of money and lead to a downward spiral of debt. But sometimes, insurance companies, especially in medical cases, are sympathetic enough to be open to a compromise. You might be able to knock off thousands of dollars in your debt just by negotiating a deal with your creditors.

You can get a head start on planning for your future finances by discussing your property division needs with a Denver divorce lawyer.