What is happening in the financial world right now is causing most of the population stress and anxiety. If you add to that the stress and anxiety of a divorce, how does that look? Not only is it predicted that substantial higher costs will be passed on to individuals- everything from groceries to car repairs. It is also predicted that the tariffs will contribute to a higher rate of unemployment and lower salaries for those who find or maintain jobs. As for people’s retirement accounts, 529 accounts and everything in between, a glance at the falling stocks is stressful all on its own.
If you are also going through a divorce, there are a few issues to look at. First, one of the three top reasons for divorce is financial problems. This can manifest itself not only in the stress of the above-mentioned higher costs, falling stocks, and unemployment, but also how each party in the marriage reacts to these concerns. If you are someone who likes to act, you may be running to pull your investments out of the stock market. If your spouse is more cautious, he/she may want to “wait and see”.
Ultimately, these additional stressors may precipitate more divorces. But should you try and “stick it out” until the tides change? In most cases, if not in all, the answer is no. If you and your spouse have decided to divorce, this is not the time to back off. Additional stress makes staying together more difficult, which ultimately affects the children. No one knows what will come next at any point, and although the signals are strong now that there is an economic downturn, most people instinctively feel better about making their own decisions during tumultuous times, rather than having to work with someone they are in a difficult relationship with already.
Assets and liabilities can be divided “in kind” meaning if an asset is up the parties can split that one asset equally, and the same logic if it is down. You will both get your fair share, and consequently you will be able to make your own choices (with the help of experts, if appropriate) regarding how you handle the circumstances. Further, support is not based on short term but long term. A job loss will automatically change the situation.
The bottom line is that divorce will hold steady, but in rocky times it is more important than ever to have an attorney well-versed in how to handle the turmoil. Please call one of our highly skilled matrimonial attorneys at 908-529-0353.
