Child support is a part of just about every divorce involving children as well as child custody matter in North Carolina. However, there are still many things that people don't quite understand about child support, even after they have been awarded it or ordered to pay it.Here are five things you need to know about child support in North Carolina, especially if you are currently going through a divorce involving children or a child custody matter: 1. Child support is not taxable.It is not considered taxable income for the parent who receives it, and it is not considered a tax deduction for the parent who pays it.2. You can be ordered to pay temporary child support before a permanent amount is ordered.Temporary support may be ordered after a short hearing at the beginning of the case until a permanent amount can be agreed upon or ordered by the court.3. Child support can also include the responsibility to pay for health insurance, therapy and other special needs.Child support is more … [Read more...]
Archives for April 2015
How your career can flourish after a divorce
If you are currently going through a divorce or have recently gone through one, you probably won't be surprised to hear that the Holmes-Rahe Stress Inventory calls divorce the second biggest stress a person can go through in life, right after the death of a spouse.Because of all the stress and changes, a divorce can, unfortunately, derail certain aspects of your life, but as an informative recent article from the Harvard Business Review reports, your career doesn't have to be one of those. The article pointed out that it is actually possible to make great strides in your career after a divorce by taking three steps:Giving yourself time and space. Taking a step back to look at your life from a bird's eye view may help you get the clarity you need to plan a new course for your career. Perhaps it will mean asking for a raise, changing careers, or even spending more time with your children, the article suggested.Being willing to take a risk. A divorce tends to put things into perspective … [Read more...]
Why rebuilding your credit score after divorce is important
Even for couples with significant assets, divorce can pose some financial challenges. In a post earlier this week, we discussed the financial impact of seeking a divorce. Understanding how a divorce can affect your finances is vital for moving forward on strong footing.One important financial aspect of divorce that we did not discuss in this week's previous post is your credit score. Although it is often overlooked, your credit score plays an important role in your post-divorce life. A good credit score can help you secure a loan for a new home, be approved to rent and even get a job. Unfortunately, your credit score can take a hit during divorce. When your income drops and your expenses increase, it's only natural to have some difficulty getting back on track -- especially if you weren't managing the household finances in your marriage. Add to that the stress of divorce, which can cause some to lose track of bills and make late payments, and it's not hard to see why your credit score … [Read more...]
Financial considerations during a divorce
Divorce and dispute over money generally goes hand-in-hand. It's important to cover these issues thoroughly during the divorce process or these disputes will continue to arise after the marriage is over.Some vital financial matters to consider include: Tax consequences: while property division is generally not a taxable event, the recipient of alimony will have to pay taxes on these alimony payments. Likewise, amounts paid are deductible for the alimony payer. Other consequences include the paying of quarterly estimated state and federal tax payments by the recipient.Child support: while payments do not create tax consequences, the question of which spouse claim the children as dependents on tax returns remains. There are also financial decisions regarding which spouse pays for college for the children, etc. A 529 college savings plan is an option to consider in these circumstances.Life insurance: to avoid changes to beneficiary status, the spouse eligible for the death benefit should … [Read more...]
How to avoid court in a family law matter
You have probably heard many stories -- and seen many movies -- about dreadful family law cases involving divorce or child custody issues. The good news is that your case doesn't have to be like that.Many of the horror stories you hear involve a contentious court battle, but it is possible to avoid going to court altogether by using alternative dispute resolution (ADR) methods. Not only can ADR methods lessen the emotional toll of family law issues, they can also be a much more cost-effective way to settle disputes. Here are a few ADR methods that our firm offers, along with a short explanation of each:Negotiation: This is the informal process of your attorney negotiating with the other party's attorney in effort to reach an out of court settlement. Settlement negotiations are kept private and confidential.Mediation: This process involves a neutral mediator who facilitates negotiations between the parties. The mediator doesn't offer legal advice or make any decisions, but he or … [Read more...]
