Montgomery County Family Law Blog

For some Pennsylvania residents, the new year might mean a new relationship status from married to divorced as divorce filings increase at the beginning of the new year. While the overall divorce rate dropped by 8% from 2007 to 2017, the trend of increased divorce filings in January has continued. The increase is marked enough that January is unofficially known as "divorce month."

The decision to seek a divorce after the holidays might come from having lived through stressful experiences including traveling and additional family time. For a marriage that was already struggling, this might be the breaking point, driving people to seek a divorce to prevent having to go through this the next year.

When people in Pennsylvania decide to divorce, they may struggle with the complicated emotional, legal and financial aspects of the end of a marriage. While divorce rates have declined from around half of all marriages to around 39%, separating can be financially devastating, especially for couples who have amassed significant assets. It is important for both parties to understand the family finances comprehensively in order to make sure that they are receiving a fair settlement in the property division process. There are specialized financial advisers who can work along with a divorce attorney to examine financial records and make recommendations.

Each person should compile a complete list of family assets and the sums involved, including retirement funds, investment accounts and regular savings and checking accounts. Even pensions from each partner's job should be included in this process. It is also important to understand both parties' income, and pay stubs, tax returns and other items can help to get the information needed. During property division, debt is divided as well as assets, so spouses should make sure to get copies of their credit reports, credit card bills, mortgage documents and other information.

Getting married is a huge commitment, and it is understandable if you have concerns before going through with the ceremony. No matter how content and secure you currently feel in your relationship, it's always good to have a contingency plan. You should understand state laws and think about what would likely happen if you were to go through a divorce in the next few years.

In Pennsylvania, community property is not recognized at divorce. This means that assets will be subject to equitable distribution. During the equitable distribution process, courts take many different factors into account to establish how assets should be distributed to achieve a fair outcome for all. If you are the primary wage earner, it may mean that you lose a large proportion of the assets you have worked to accumulate over the years.

Divorce is one of the most stressful events that a person can go through in life, and it is becoming more common for people over the age of 50. When people in Pennsylvania get divorced later in life, they are more likely to have financial investments that need to be divided and accounted for before, during and after the process is complete. Among the tasks that should be accomplished are updating beneficiaries, gaining access to accounts, dividing investments and splitting retirement accounts.

Beneficiaries must be designated on a number of different types of assets. On some of them, a person's spouse is automatically designated unless a change is requested. For that reason, it is important to make sure the beneficiary designations on any accounts are updated following a divorce, or the assets might automatically transfer to the person's ex-spouse on death.