There are any number of reasons why a Michigan married couple might determine that they would rather go their separate ways than remain in a relationship together. Divorce is often the next step in such situations. For women, in particular, making the decision to file for divorce can have significant financial implications.
Women who want to be as well-informed and prepared as possible for proceedings will want to keep several things in mind. First, it is critical to know exactly where one’s assets are in order to protect financial interests during property division proceedings. Michigan is an equitable division property state, which means marital property will be divided fairly, though not always equally.
In addition to knowing the net worth of marital property, it is also important to be fully aware of any and all liabilities that exist before heading to court. Debt might include unpaid student loans, credit card balances, a mortgage on a home, or other financial obligations. In the absence of an agreement between the parties, the judge overseeing the case will determine who will be responsible for each liability.
Financial issues in a Michigan divorce often pertain to taxes as well. Due to a change in filing status, tax implications may have an impact on a particular spouse’s income. This is especially true for women who earn less than a former spouse or who have been out of the workforce for years. Researching state property division laws enables a concerned spouse to make informed decisions and to make sure that a proposed settlement is fair before signing an agreement.