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A divorce can have serious impact on one's taxes

Once a couple realizes that their marriage has become untenable, there are likely many issues that each individual will want to consider. Many couples who are in the beginning stages of filing for a divorce may not have yet considered the effect this change may have on their income taxes. Colorado residents may have many questions concerning how to handle these issues now, so as to avoid creating a financial hardship down the line.

The first thing that will need to be changed is one's filing status. No matter when the decree was issued, the Internal Revenue Service requires that one use the status that applied as of Dec. 31. This may result in a change in one's withholding and subsequent tax liability. Along with this change, if the couple have minor children, then they will need to resolve the question regarding which party will be entitled to any child-related tax benefits for a child.

It may be possible to protect a business during a divorce

Just as partners do in a relationship, business owners work diligently and make many sacrifices in order to watch their hard work mature into a fruitful enterprise. Unfortunately, while the business may thrive as a result of the effort put into it, an estimated half of all marriages end in divorce. In spite of the end of a relationship, Colorado residents may not have to lose their business in the process.

Every state has its own laws that regulate how assets are to be divided during a divorce; however, there may be steps that can be taken that will ensure that an owner can retain the business one worked hard to build. One way to ensure that the company's assets are seen as separate from the marriage is to maintain meticulous records that reflect the separation of business assets from personal finances. Another strategy is to pay oneself an appropriate salary based on the worth of the company. Taking less pay in the hope of a better retirement may backfire in the divorce if a court determines the spouse is entitled to a larger share of the assets.

3 reasons to avoid delaying a divorce

There are many contributing factors to the fact Colorado's divorce rate is on the decline. In 2013, the divorce rate in the state reached a record low for the previous decade. Some experts claim this drop is due to a rise in education. 

While Colorado has seen fewer divorces, they still occur frequently. If you find yourself in a situation where you contemplate this legal action, then it may be best to simply get it over with. Naturally, you want to take your time and weigh all your options, but here are three reasons why there may be no need to delay the inevitable. 

There are ways to prepare financially for a divorce

Just as the decision to marry may be based on emotions and other subjective qualities, the dissolution of one is often just as emotional. However, in order to best protect one's financial future, it may be prudent to view a divorce with an eye to protecting one's financial health. Colorado residents often have significant assets that could be lost if decisions are made based on feelings.

There are several key points that may ensure that one is able to secure a healthier financial future after a divorce filing. Unfortunately, when word gets out that a divorce is in the future, one is often undulated with advice from friends and co-workers; but it may be helpful to remember that each situation is unique, and no two outcomes will be the same. There are tasks that one can complete either before or during the process. These may include closing existing joint bank accounts, and updating tax information and other accounts that may reflect both names. If possible, it may be prudent to open both a bank account and credit accounts in one's own name in order to start rebuilding one's financial well-being. 

Military divorce differs in some key areas

When a marriage is no longer tenable for the parties involved, a dissolution may be the best option for troubled couples. However, when at least one spouse is a service member, a military divorce differs in some key points. Colorado couples who are contemplating one may benefit from becoming familiar with some of those differences.

One of the first distinctions between a civil and military divorce is that an active duty member is protected from any filing while he or she is actively engaged in serving the country. This protection extends for two months after the active duty has ended, in order to allow a military member to focus on the job at hand. Another key difference is where a divorce may be filed. Civilians are required to file in the state of their residence while a service member or spouse may elect to file in the state of residence, the state where one is stationed, or where one or the other spouse has established residency. Once a filing has been recorded in a state, issues such as child custody and support, as well as alimony, will be determined by that state's laws.

5 tips for avoiding a DUI after a Halloween party

With Halloween coming up, you will probably be out eating, drinking and partying with friends. Going to a Halloween party with alcohol means your odds of getting arrested for drunk driving are higher. Blue and red lights flashing behind you on October 31st are far scarier than anything else you will see that night. 

But how can you avoid being charged for driving under the influence (DUI) on Halloween? Read below for some tips on stopping yourself from driving drunk on this spooky holiday. 

Deciding what to do about home not always easy during a divorce

When a married couple realizes that a marriage is no longer viable, there are many issues that will need to be settled. A divorce often entails trying to untangle all aspects of two lives, and deciding what happens to a family home could be one of the harder decisions. There may be many Colorado families who are working to determine their best options while going through this life transition.

Many couples may decide that allowing one parent to retain the home for the sake of the children is the least disruptive solution. However, if the remaining spouse can only afford the upkeep and mortgage through support payments, then it may become impossible to keep the roof over one's head when those monies come to an end. On the other hand, if one spouse keeps the home and then decides to sell it, then he or she is stuck with the costs of selling that home along with any tax burden that may be due.

Top 3 tips for stay-at-home moms getting back to work

If you have been a stay-at-home mom for years and are getting divorced, you are probably stressing out about finances. While you might get some court-ordered support from your soon-to-be-ex-husband, it might not be enough or last forever. 

Amidst all the difficulties of divorce, you may need to think about getting back into the workforce. While this might seem daunting, it is possible! Remember, you are a strong and capable woman. Follow these tips to get back in the game. 

Custody agreement violation costs mother primary child custody

During a divorce, there are likely some issues that the former couple will have to compromise on. However, few topics can evoke stronger feelings and beliefs than child custody and how a child should be raised. There may be times when one parent will have to concede a point in order to obtain each party's goal of ensuring that a child's best interests are protected. Most likely, there are many Colorado parents who have struggled to blend personal beliefs with the well-being of a child while attempting to honor the other parent's wishes.

Recently, a judge in another state was compelled to rescind one mother's primary custody rights. After the couple's divorce, part of the custody agreement purportedly contained a stipulation that their son would receive the required immunizations. In exchange for that concession, the mother was awarded primary custody of their child. However, the woman reportedly did not honor that condition in spite of her agreement to do so late last year.

Court rules in favor of Fidelity executive on spousal maintenance

Couples tend to grow dependant on a certain lifestyle. However, if a marriage ends in a divorce, the income that provided comfortable support is now often expected to serve two separate households while both parties attempt to maintain a certain standard of living. Frequently, if the wife did not have outside employment suitable to sustain her needs, a court will order spousal maintenance. There are likely many Colorado families who have come to rely on these vital monies to provide the support they are accustomed to living.

Recently, the high court in another state ruled that an executive at the Fidelity Investment firm will not be required to share a set portion of his future earnings with his former wife. Derek Young, who is a president of a division of the investment giant's network, has seen his income rise to an estimated $7 million in the recent past. According to a ruling by a lower court during the couple's 2013 divorce trial, Mr. Young was ordered to pay approximately 33 percent of his future earnings to his former wife for alimony. The new ruling has resulted in the case going back to the family and probate court for a new alimony determination.

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