Student loan debt is a major concern for many people in California. The cost of attending university in the United States has grown significantly over the years. As a result, many people face student loan burdens that may total in the hundreds of thousands of dollars. When people decide to divorce, the division of their largest assets may be some of the most contentious issues that arise. The financial effects of the end of a marriage can linger for years into the future. The same holds true for the division of large marital liabilities such as student loan debt.
Preparing for a divorce includes gathering information about the past few years of life to be able to plan for the future. As many California women know, finances can often provide surprises during this process, particularly if a spouse was not actively involved in handling these during marriage. To prepare for a stable, financial future, experts recommend gathering three types of documents.
Couples in California and around the country could be more likely to divorce if they have student loan debt, according to a study conducted by Student Loan Hero. Other studies have found that general money problems are a top source of marital discord, but this study discovered that unpaid student loans are especially toxic for marriages. Specifically, researchers found that one-third of divorced couples blamed general money disagreements for their divorce and one in eight said that student loan debt was the particular cause.
When people decide to divorce in California, they may find themselves facing complex financial decisions. Disentangling the relationships formed in marriage can be complex and difficult, especially because people may be connected through a wide range of accounts, funds, beneficiary designations and other official ties. While people may pay more attention to other aspects of property division, there are several insurance issues that may be particularly important to address quickly after the divorce is final, especially in relation to life and health insurance.
While many people in California and across the country continue to value the role of stay-at-home parents, they have varying ideas about what those parents should receive in a divorce. Around 25% of American mothers and 7% of American fathers leave the workforce to stay home and raise their children. For some of these parents, their families save money overall after they do not pay the costs of daycare. However, many stay-at-home mothers are highly educated with their own high-powered career potential. Around 10% of American highly educated mothers with a master's degree or higher stay home to care for their children.
Cheating is one of the major causes behind divorce in California. However, there are other factors that lead to divorce, including criticism, contempt and sarcasm. Some reasons for divorce are so insidious that a couple does not even realize they are going on before it is too late.
California fans of 54-year-old talk show host Wendy Williams may have heard that she and her husband are getting a divorce. The couple has been married since 1999 and has one son.
For the better part of the last century, mothers in California and the rest of the country were more likely to be favored when there was a need to make custody decisions. Mothers still generally enjoy more rights with their children after a divorce than fathers, but the prevailing trend in the 21st century is toward shared parenting or joint custody whenever possible.
Many high-net-worth individuals in California and around the country have taken an interest in cryptocurrencies in recent years due to their surging values and the ease with which they can be transferred overseas. Alternative currencies like Bitcoin are also an increasingly thorny issue in divorce cases. This is because cryptocurrencies have become a popular way for divorcing spouses to hide their assets, and placing a value on these highly volatile holdings can be challenging even when they have not been concealed.
California parents who are divorced or separated may want to take advantage of the tax benefits that come with claiming their children as dependents on tax returns. However, they should be aware that if multiple taxpayers claim the same individual as a dependent, complications are likely to arise.