What happens during a divorce regarding money?
There main financial issues involve how to divide property, child support and spousal support (maintenance). Understanding the financial issues involved and your rights under Illinois law will help you navigate your divorce.
Is it cheaper to live together during the divorce process?
Yes. After the divorce, there will be two residences to maintain–so two rents or two mortgage payments.
The lion’s share of the assets…
I am a wife who brought no income into the marriage. I didn’t work outside of the home after the birth of our first child. My husband claims he should get the lion’s share of the assets since he was the only income producer? Is this right?
No. Illinois law gives you credit in the property distribution for your “domestic duties.” Illinois courts generally consider the homemaker contribution as equal to the husband’s paycheck contribution. You should usually receive at least 50 percent of the marital assets.
What to do when there’s a budget shortfall?
Throughout the marriage I have been a homemaker and have raised our children. I have no specific income-generating skills. Even if I receive close to 50 percent of my husband’s income, it will leave a budget shortfall. What do I do?
A divorce may mean that both parents of school-age children may need to be employed outside the home. Illinois child support law provides that if either parent is “voluntarily unemployed or underemployed,” the court can base child support on “potential income.” [750 ILCS 5/505(a)(3.2)].
My husband, during the marriage, honed his income generating skills while I took care of the home and family. Will the law compensate me for this?
Yes. This is where spousal support (alimony) comes into play.
Exceptions where Divorce is financially advantages…
You said that with few exceptions a divorce does not financially advantage either party. When is a party is financially advantaged by a divorce?
Assume you have non-marital property (premaritally owned or acquired by gift or inheritance and held in your own name) that produces a significant income. Also assume this income has been used for family purposes. This non-marital property will be declared to be exclusively yours. You will be money ahead. But if you are obligated to pay child support or maintenance, Illinois’ courts can consider your income from non-marital sources.
Another instance… One spouse is a spender—spending beyond the couple’s cash flow. The spouse not engaged in these expenditures often comes out financially ahead after the divorce.
If I’m ordered to pay child support and maintenance, will I have any other obligations to the family, such as paying the mortgage?
Not usually. Your sole obligation after the divorce is generally to pay child support (and maintenance in appropriate cases). And add certain add-on expenses for the children:
- Health insurance;
- Non-covered health care expenses;
- Daycare expenses;
- Extra-curricular expenses.
What else?
Assume your children go to college or attend a trade school. Each parent generally contributes based on his or her ability to pay, while considering other factors. See: http://gitlinlawfirm.com/illinois-requires-post-high-school-support/
