Financial Considerations for Divorce in Colorado: What You Need to Know

Before Filing for Divorce: Financial Preparations

One of the most important steps when preparing for divorce is safeguarding your financial position. The first piece of advice we give our clients at Johnson Law Group is to avoid moving money, making large purchases, or hiding any assets. These actions can raise red flags in court and harm your case. However, there are legal steps you can take to protect your finances before filing for divorce.

Key Preparations

• Access to Financial Accounts: Ensuring access to all your financial accounts is essential. In many marriages, spouses share joint bank accounts, retirement accounts, and other financial assets. In some cases, this may involve moving a portion of the funds into an account solely in your name; doing so without legal consultation, however, could cause problems, so speaking with an attorney before taking action is vital.
• Change Your Direct Deposit: If you're still using a joint account with your spouse, consult with an attorney about changing your direct deposit so that your income goes into an account in your name. This can support your financial independence during the divorce process, which can be critical if your spouse controls access to the joint accounts. As with any financial move, consult with a lawyer before making this change.

During the Divorce Process: Temporary Orders and Financial Relief

Once the divorce process has begun, several options exist to help stabilize your financial situation while the case is pending. Colorado courts can issue temporary orders to address financial responsibilities during this time, helping to ensure that essential bills are paid and financial support is maintained.

Key Financial Relief Options

• Temporary Orders: After filing for divorce, you can ask the court for temporary orders, which are short-term rulings that help manage financial issues while the divorce is ongoing. For example, the court may decide who is responsible for paying the mortgage or rent, utilities, and other household expenses. These orders ensure financial stability while the legal proceedings move forward.
• Child Support and Spousal Maintenance: If children are involved, the court can issue a temporary order for child support, ensuring that their needs are met during the divorce process. Similarly, spousal maintenance (also known as alimony) may be granted temporarily, depending on the financial situation of both parties. Suppose there is a considerable income disparity between spouses. In that case, the court may order one party to financially support the other, even before the final divorce decree is issued.

At Johnson Law Group, we can help you navigate these temporary financial relief options, ensuring your needs are addressed while the divorce is underway.

After the Divorce: Long-Term Financial Considerations

Once the divorce is finalized, long-term financial planning becomes essential. The critical considerations after a divorce include asset division, child-related expenses, and ongoing spousal support, all of which can have lasting effects on your financial health.

Key Financial Considerations After Divorce

• Asset Division: One of the primary financial concerns after divorce is the division of assets. In Colorado, marital property is divided based on the principle of equitable distribution, which means the division should be fair, though not necessarily equal. This includes dividing bank accounts, retirement savings, real estate, and other shared assets. Working with a family law attorney at Johnson Law Group ensures that you fully understand the assets involved in your divorce and receive a fair division that accounts for your long-term financial security.
• Child Support and Child-Related Expenses: If you have children, child support and the division of child-related expenses will continue to be financial considerations after your divorce. Child support is typically calculated based on a formula that considers both parents' income, the amount of overnights each parent spends with the children, and other factors. Additionally, parents must share the costs of children's school expenses, healthcare expenses, and health insurance (and often their extracurricular activities). At Johnson Law Group, we work to ensure that child support orders are fair and adequately reflect the financial needs of both you and your children.
• Spousal Maintenance (Alimony): For some individuals who received temporary spousal support during the case, maintenance (alimony) will continue after the divorce is finalized. The court determines alimony based on several factors, including the length of the marriage and the income disparity between spouses. If you're eligible for spousal maintenance, it can provide essential financial support as you transition to life after divorce. Sometimes, alimony payments can last for years, depending on the marriage's circumstances and the recipient's financial needs. At Johnson Law Group, we ensure that all aspects of spousal maintenance are properly addressed, protecting your financial well-being after the divorce.

Why Work With Johnson Law Group?

Navigating various financial aspects of a divorce in Colorado can be complicated, but you don't have to go through it alone. At Johnson Law Group, our experienced family law attorneys are here to guide you through the divorce process. Whether you're preparing for divorce, managing your finances during the case, or planning for the future, our team will protect your financial interests.

We offer a free consultation to help you understand your options and take the necessary steps to secure your financial future. Contact us today to speak with an experienced divorce attorney at Johnson Law Group and learn more about how we can help.

Subscribe To Receive Important Information

Join our email list to receive the latest news and updates from our Family Law Team.

SUBSCRIBE!

Thank you for subscribing to Johnson Law Group. You will now start receiving important information.