As California residents know, there are a spectrum of reasons why any couple might get divorced. A recent article focuses on a few of these major reasons, which include financial differences and education level. It likely comes as no surprise to California residents that a married couple might separate over financial disputes specifically. Finances are often a stressful and emotion-filled issue to address.
One of the biggest reasons for today’s divorces has to do with differences in income. When one partner is heavily financially dependent on the other, divorce is often more likely. When divorces occur for such a reason, issues of property division can be difficult questions. The state of California is a community property state. Thus any assets acquired during marriage, be that a home, stocks, vehicles or vacation property, are likely going to be split evenly in divorce.
For a spouse that made a majority of the income, this can be a difficult fact to swallow. Yet, the reason for such an equitable division concepts stems from the idea that separating spouses should be permitted to at least leave the marriage under similar financial footing that existed while in the marriage. This idea keeps low income earners, or completely financially dependent ex-spouses from losing everything.
Prenuptial agreements can often overcome certain aspects of community property requirements and are often a smart idea when entering into a marriage when the financial circumstances of each spouse are substantially different.
While the reason for any divorce might differ substantially from couple to couple, the complicated of concept of property division will be present in any separation. It is important to have adequate legal representation in complicated property division cases in order to ensure a fair and equitable outcome.
Source: Opposing Views, “Income and Divorce Rates,” Beverly Bird, May 2, 2013