Kentucky Law Blog

Finances and how each spouse handles money can be a constant source of stress in any marriage and may lead to divorce. While one spouse wants to save for retirement or a kids’ college fund, the other spends a family's money as if it burns a hole in their pocket or purse. This situation may even become more exacerbated after the couple files for divorce. This type of spending may qualify as the dissipation of assets. More than wasting money, it is defined as using the couple’s joint holdings for inequitable purposes that would only benefit themselves when divorce is imminent. Common examples...

There are many details to be considered and addressed when filing for divorce, but it is also smart to prepare for the negotiation process mentally. There are some important things to remember during a negotiation, whether it is sitting down with a spouse and your lawyers to work out the details or alternate dispute resolution approaches like mediation. Preparing to settle Assuming that the couple and their attorneys are confident that the two sides can find workable solutions to all the major issues, there is some preparation that the client will find useful: Gather financial information:...

Some fall in love with ambitious people. They likely found the trait attractive or even comforting, thinking that this partnership will be quite successful. At some point, they may have shifted direction, moving from an executive position at a company to starting a company of their own. It would be an exciting change and worth the support when the risk pays off, and the new company is successful. If the company did not work out, there was no doubt that they would find something else. A marriage with two wives The unfortunate reality for entrepreneurs and those who launch their own business...

Dividing assets in a divorce are often one of the most complicated parts of the process. Because couples rarely split everything in half, the two sides go through a process of valuing everything so that they can arrive at a fair and equitable agreement. While this may sound relatively simple, it can be hard agreeing to the value of something. It is especially true when the asset is a business. Value involves different factors Many different factors go into the value of a business. Partnerships or larger companies have this figured out as part of the business agreement, but individuals who...

When people get a divorce, in addition to dividing shared property, they may also have debts that one or both people will be responsible for. The average age for a first divorce is 30, and this means that many people who are getting a divorce might have student loans. Since Kentucky is not a community property state, if the loan is in just one person's name, that person will be responsible for its repayment. However, student loans are not always straightforward. For example, while federal student loans do not require a cosigner, a private student loan may. If a spouse is a cosigner, they may...

The signs were subtle and then blatant. After decades of marriage, you know that your union is in trouble. Your spouse “turned the key,” while you had expected to stay married until one of you died. For nearly anyone, gray divorce causes emotional and financial turmoil. Perhaps in your marriage, you sacrificed so much that your needs and wants always took a back seat to your spouse’s. That will have to change. Now, it is time to look out for yourself. You have spent nearly your entire adult life with your spouse. And during your lengthy marriage, the two of you accumulated many assets, some...

The federal tax deadline was pushed back to July 15 to accommodate the challenges taxpayers face amidst the pandemic. Early filers likely did their taxes before the announcement, but there are still many who will wait until the last possible moment to do it. One wrinkle experienced by some is that they are getting divorced or recently finalized their decree. This means significant changes in how some file taxes this year and in the near future. A tax professional should handle specific tax advice, but there are some general questions that can be addressed. These include: Should the marital...