Finances & Divorce

Uniform Premarital Agreement Act

Each state has the ability to define their own statutes that are used to resolve all issues that come up with prenuptial agreements. These provisions and statutes may include child custody, alimony (spousal support), and division of property. This is important to note because some states are very stable in their rulings, and others are… Read Full Post

What is Community Property?

Community property is commonly known as any property that was obtained during the marriage, and in the case of divorce, annulment, or death it is the property that is divided between the two spouses. Basically, it states that there is joint ownership for those items contributed to the marriage by each spouse. If one spouse… Read Full Post

Finance and Divorce Software

Going through the divorce process can be a very daunting task, wearing you down physically as well as emotionally. This makes it extremely difficult to make important decisions that will likely affect the rest of your life. Of these decisions, ones that involve your personal finance are often confusing and hard to get… Read Full Post

Tax Consequences of Alimony

Section 71 of the Internal Revenue Code states that alimony is required to be included in the income of the recipient’s tax filing. On the other hand, the payer of the spousal support may deduct this from total gross income.
In order for payments to be qualified as alimony, there are certain conditions that must… Read Full Post

Debt Division and Asset Protection by State

When a married couple is unable to divide their property and debts by themselves, then it is up to the state courts to divide the property. There are two primary schemes that the courts use: Community Property and Equitable Distribution.
Community Property law states that all property of each married party is considered either community property,… Read Full Post

Alimony Tax Consequences

The Internal Revenue Code states that the payer may exclude alimony payments from his gross income, and that alimony is required to be included in computing the recipient’s gross income. This is stated in Section 71.
In order to be deemed alimony payments, the following must be true:
1) The payment is a cash payment
2) The payment… Read Full Post

Is Alimony Child Support?

Although the two may seem similar in that they are ongoing financial obligations, alimony is different from child support.
Alimony is basically income that is paid to the spouse, and it is deducted from the income of the spouse paying the alimony. If alimony payments are missed, then there is not special legal options that the… Read Full Post

Assets Subject to Property Division in Dallas Texas

In Dallas, Texas it is assumed that all assets that were obtained in the duration of the marriage are considered community property, making them subject to property division by the Texas court. The following is a list of assets that are subject to division in Dallas:
1) Cash
2) Real property
3) Retirement benefits
4) All other property that… Read Full Post

Factors That Affect Alimony

The following is a list of factors that help determine alimony:
1) Length of the marriage - Most alimonies last for a term, and the general rule is that the longer the marriage lasted, the longer the period of alimony. If the marriage was over ten years in length, then most of the time permanent alimony… Read Full Post

Factors to Determine Alimony in Texas

In Texas, the courts will take into consideration all factors relevant to alimony (maintenance) to determine “the nature, amount, duration and manner of periodic payments.” The following is a list of some of these factors:
(1) the financial resources of the spouse seeking maintenance, including the community and separate property and liabilities apportioned to that spouse… Read Full Post