Divorce Planning
What Should You Do First?
If you are considering divorce or being forced to think about divorce, you are wondering what steps do I take?
Rule #1. Trusting that the legal process will take care of you is the worst assumption you can make. Take charge of your divorce and you will receive what you want not what your spouse or the Court thinks you deserve. Arizona Courts split the community property of a marriage 50/50. By planning, you can ensure you receive the 50% you want.
The process for divorce in Arizona can be broken into five separate categories:
1. Preparation
2. Initiation
3. Analysis and Planning
4. Negotiation and Settlement
5. Post-Divorce
Preparation
Preparation is key. Think about the different aspects of your marriage. Do you have assets, like a house, a retirement plan, savings, checking? Do you rely on or does your spouse rely on your income? Do you have debt? Do you have children? Consider this, you are going from a two-income household to a single income household. You may have
Knowledge is Power
So, begin by doing the following:
- Create a budget
- Know your credit score;
- Determine the amount of debt that was accumulated in the marriage;
- Do you or your spouse rely on the other financially?
- What can you afford to contribute financially for child support?
- Get advise from a financial planner;
- Get legal advise from an attorney;
- Seek out emotional support from family, friends and a counselor;
- Talk to an accountant about taxes.
Do you have children?
Create a Parenting Plan
- Will you have joint custody or sole custody?
- What days will you have the children?
- What days will your spouse have the children?
- What holidays will be split or will they be shared?
- What if you disagree about parenting, who will make the ultimate decision?
Use the tools on this website to begin the process and also contact our office to receive the benefit of our years of experience handling divorce matters. Contact us today.
Initiation
Once you are prepared and have created a plan with your spouse, the next step is to initiate that plan. Consider the following:
- Who should file and when;
- How you will split the assets;
- How you will split the debt;
- How you will receive money or pay money to your spouse for support for themselves and the children;
- Who will pay for the costs of the divorce;
- Will you use an attorney;
- Will you mediate the divorce;
- Can you agree on how the divorce will proceed?
Arizona is a no fault divorce state so there is little significance as to who will file. But if you decide to file, you will need to be in charge of your divorce. If you need help with time lines and deadlines, our firm is here to help if you hire us to prepare your documents.
Now that you have decided to file, decide what assets and debts each of you will take. Go back to your budget and decide based upon what you will need. Keep in mind that divorce is not easy and the key to a lasting, cost-effective divorce is compromise, compromise, compromise. So, if he or she wants the vacation photos, be the bigger person and make copies. If you do not want to pay his or her department store card, say so but be prepared to pitch in on other debts.
Do you think you qualify for spousal maintenance? A better question may be can your spouse afford to pay you spousal maintenance after all the debt has been paid? What about child support? Both of you will be responsible for the costs of supporting your child or children. What are the day care costs, health insurance costs? Review your budget and come up with realistic terms both of you can live with that will allow you to parent together in the future.
The tools on this website will allow you to make a fair assessment of your divorce options, division of assets, debts and liabilities.
Analysis and Planning
What Divorce Process is Best for You?
At the Thompson Law Firm, we advocate uncontested divorces and mediation as the best divorce process. However, it is not the only divorce process but the two that we deem best for our clients. If there are issues of domestic violence or unfair bargaining positions, then mediation and uncontested divorce is not for you.
- An Uncontested Divorce is where the parties have agreed on all issues in the divorce, the property split, the debt and asset split, whether spousal maintenance is necessary and how the children will be cared for. We can assist you in either providing representation though the process or provide document preparation so you can represent yourself in the process.
- Mediation is a voluntary and confidential process in which an attorney with the Thompson Law Firm acts as your mediator. It can be an ideal solution because it is less expensive and contentious than a court proceeding. As part of your mediation process, Thompson Law Firm prepares your documents and you leave the mediation with a signed settlement agreement that is filed with the Court. The settlement agreement is the written agreement splitting all your assets, debts, future support and child arrangements that both of you agree to live by after the divorce is final. The document is filed with the Court along with all the other documents and your mediated divorce can be without any court proceedings.
- Hiring a Lawyer is of course always an option. If you are considering doing so, always ask what the costs will be. Thompson Law Firm provides both flat fees and hourly arrangements for our clients. Ask about the issues that are keeping you up at night. How much in spousal maintenance am I going to pay or can I receive? How much child support can I receive or have to pay? What should I do with our house, our retirement, my assets before the marriage, and anything else that comes to mind. In the end, there are a lot of divorce attorneys in Arizona so, retain an attorney you like and you think is knowledgeable.
Negotiation and Settlement
At this stage, you have decided on a budget, you have a firm grasp of your assets, debts and liabilities. You know the value of your house, your car, your spouse’s car. You also know their financial picture. You have come up with a responsible parenting plan. Now you put everything into effect.
Negotiation
- Prepare your post divorce budget and that of your spouse;
- Agree on who will be taking what debt and in what amount;
- Agree on who will be taking what assets and in what amount;
- Are you selling the house or keeping it?
- Agree on a parenting plan and a child support amount that is realistic.
Negotiation takes many forms. You can seek to negotiate with your spouse yourself, you can hire the services of a mediator, such as the Thompson Law firm or you can seek out the services of the Court or any combination of these can be used to reach a compromised settlement. It is a compromise because truly nobody wins in divorce, but everyone gives a little to get a final divorce decree, a property settlement agreement and a parenting plan.
Post-Divorce
At this stage, you have finalized all your agreements into writing and have a property settlement agreement, a parenting plan, and a consent decree signed by a judge. The post-decree is a critical stage to ensure that all of your planning is being put into place. The following steps should be taken
- Divorce Decree, Property Settlement Agreement, QDRO (order to split of retirement) and Parenting Plan have been recorded and signed by the Judge.
- Tax Planning- how and when will you file;
- Retirement Assets have been transferred;
- Quit claim deeds have been recorded for property;
- Collect your personal property.
- Change your beneficiary on your life insurance, health insurance and other policies and accounts to reflect the individual who you want to receive the benefit of these assets if it is no longer your spouse.