North Tampa Legal Group, PA

The unexpected financial boon of divorce

On behalf of North Tampa Legal Group posted in divorce on Thursday, January 4, 2018.

When it comes to smart money moves, most people don’t immediately think of ending their marriage. However, one unexpected benefit of divorce is that it can leave a person in a better financial position than before. Individuals in Florida may be wondering just how that can be, since traditional wisdom warns of the financial risk of separating from a spouse.

One of the financial boosts will pay off only if a person stays in the marriage long enough. A divorced person who was married for 10 years, did not remarry and was the lesser-earning spouse is able to file for Social Security benefits on the ex’s record at retirement. Other retirement accounts could be split during property division as well, giving some homemaking spouses an income boost.

Another way to boost income is to lower taxes. A person who is no longer filing jointly may now be in a lower tax bracket and will be more likely to keep income out of the tax man’s pocket. The main appeal for many individuals is being in charge of one’s own finances again. The person can feel free to invest without judgement, as they see fit, and the person can choose to spend or save as much as he or she wants.

It isn’t always easy to see the long-term impacts of one’s choices when it comes to divorce. In Florida, that is why many individuals look for help. Many people undergoing the divorce process will choose to hire a family law attorney.

Source: newsday.com, “Divorce can bring unexpected financial benefits, experts say“, Sheryl Nance-Nash, Dec. 31, 2017