Researchers recently studied several years’ worth of court records in another state and concluded that filing for divorce is actually seasonal. Specifically, consistent peaks were found in the months of August and March. However, no matter when a divorce filing takes place in Bronxville or elsewhere, there are a couple of important steps to take to protect oneself financially.
The reason that March is such a popular month for filing divorce may be because the family-oriented holiday season has passed, and some spouses are now ready to move on with their lives. Perhaps August is popular because summer break — also known as family vacation time with the kids — is over, so parents are now ready to move forward with divorce proceeding, especially before the holidays come around again. Unfortunately, getting divorced can be challenging, particularly for those who are not used to making money-related decisions by themselves.
One financial area that can be difficult to tackle is retirement savings. The court may provide a QDRO, also known as a qualified domestic relations order, to designate how retirement savings will be divided. If a spouse receives some of a future ex’s 401(k), it may behoove the recipient to roll this money into an IRA to avoid having to pay taxes on this cash.
In Bronxville and throughout New York, divorce is a financial and emotional challenge. However, if the parties are able to try to work out their differences together, they may be able to achieve a mutually satisfactory settlement. Otherwise, a judge will have to resolve any remaining disputes for them in court.
Source: nerdwallet.com, “Victim of ‘Divorce Season’? Protect Your Finances“, Kevin Voigt, March 29, 2017