Are There Financial Benefits To Divorce? Surprisingly, Yes!
The majority of New Yorkers view divorce as an experience that is extremely costly and that will negatively impact their financial well-being. Fortunately, that is not always the case and people do not always consider the financial benefits that divorce can bring. Below, our Suffolk County divorce lawyer outlines the benefits that are often overlooked and that you can enjoy during life as a single person.
Accessing Retirement Funds Early
The majority of retirement funds have penalties attached to them in the event that you withdraw from them early. The penalties make sense, as they are meant to act as a deterrent to withdrawing funds intended to help you during your retirement years when you are no longer earning an income. When you get a divorce, however, may can withdraw from these retirement funds early if a qualified domestic relations order (QDRO) is part of your divorce settlement.
Still, before withdrawing from any retirement fund, there are some important things to remember. You must typically be at least 59 1/2 years old, and you may still be responsible for paying taxes on any amount you withdraw unless you transfer it to an IRA account.
Helping Children Financially with College
Divorces that involve children are some of the most difficult. However, your children may actually reap financial benefits if they are planning on attending college afterward. If you are the custodial parent of your child, you must include a Free Application for Federal Student Aid (FAFSA) for your child within your financial information. Once you do, it can help your child obtain more financial aid when they are ready for post-secondary education.
Sole Control Over Your Finances
When you were married, you likely had to make financial decisions with your spouse. You likely could not make a major purchase until you have talked to your spouse about it and they have approved, and you and your spouse may have created weekly or monthly budgets together. It is no wonder that fights about money are one of the main causes of divorce.
Once you are divorced, though, you have sole control over your finances. You can choose how you want to save your money, what you want to spend it on, and make every other financial decision in your life. It is also often easier for a single person to create a budget and stick to it because finances are no longer shared between two people.
Our Divorce Lawyer in Suffolk County Can Advise On Your Case
There is no question that getting a divorce is incredibly difficult. Still, if your marriage has come to an end, focusing on the positive can help make the transition from a married to a single person easier. At the Law Office of Joshua Adam Kittenplan, P.C., our Suffolk County divorce lawyer can advise on all aspects of your case and give you the best chance of a successful outcome. Call or text us now at 631-499-0606 or reach out to us online to schedule a free review of your case and to learn more about how we can assist with your case.