It is important for individuals in New Jersey and elsewhere to consider the financial ramifications of a divorce settlement. For instance, it may not be smart to keep the marital home as it can be expensive to maintain. Furthermore, property and mortgage interest deduction caps may limit the tax benefits of owning a home. It is also worth noting that capital gains exceptions are higher for married couples as opposed to single individuals.
Soon-to-be ex-spouses who are getting divorced in New Jersey may need to consider purchasing both life and health insurance. Life insurance could be especially useful if one ex is ordered to pay spousal support to the other.
As couples in New Jersey go through the divorce process, they have to work out a lot of issues, including who will get the marital home and how custody of the children will be arranged. It can be easy for couples to focus on what needs to be taken care of in the short term. However, they should not overlook how their divorce will affect them in the future, especially when it comes to how their retirement could be affected by divorce.
Dividing a family business can be a challenge for New Jersey couples who are ending their marriage. They will need to have the company appraised and make a decision about whether they want to sell it.
Getting a divorce is not something many married business owners in New Jersey want to think about. However, business owners should take the necessary steps to protect company interests in case a divorce does occur. They should consider it just as important as making sure that there are insurance policies in place for themselves and their loved ones in case the unexpected happens.
New Jersey residents may have heard that Amazon founder Jeff Bezos and his wife MacKenzie Bezos are divorcing. What wasn't heard after the announcement was any name calling or blaming. This is because the couple jointly broke the news and are making an effort to stay amicable. There are some tips for dissolving a marriage without contention when extensive assets are involved.
When people in New Jersey decide to divorce, they may be concerned about the future of their retirement accounts. Many couples have saved a significant amount in their 401(k)s, IRAs and similar plans to the extent that these are often the largest assets held by a divorcing couple. As a result, the division of these funds can be a contentious issue; one survey of divorce attorneys found that retirement assets were one of the top three subjects of conflict during the end of a marriage.
New Jersey couples who are planning on divorcing soon may have incentive to finalize them before 2019 begins. This is because a change to the tax treatment of alimony will soon take effect. For divorces that are finalized on or after Jan. 1, 2019, alimony is no longer income to the recipient, nor is it a tax deduction for the person making the payment.
People in New Jersey who are planning to divorce may be concerned about the tax implications of ending a marriage. The Tax Cuts and Jobs Act passed Congress and was signed into law in December 2017, but one of its most wide-ranging effects on divorce will go into effect with the new year in 2019. This aspect of the law changes the way that alimony is treated under the tax code, reversing the treatment of spousal support payments for the past 80 years.
New Jersey residents who are getting divorced will discover that dividing assets can be a complex and lengthy process. This is particularly true if one or both partners own a business.