Free Initial Consultations
630-580-6373
Recent Blog Posts
Dividing a 401K in Your Illinois Divorce? Protect Your Assets with These Tips
Divorce is a complex legal process with many potential financial pitfalls. This may be especially true if there is a retirement account, such as a 401K to divide. Laws and rules of the plan must be adhered to carefully or the parties stand to lose far more than just their future financial security. There is also the risk of severe penalties and extreme financial loss as early as the finalization of one’s divorce. Thankfully, it is possible to mitigate (and potentially even avoid) such issues. Learn more in the following sections, including how the assistance of a seasoned, competent divorce attorney can help improve the outcome in your Illinois divorce case.
The Risks of Dividing a 401K in Divorce
Like all retirement plans, 401K pension plans have certain rules regarding early withdrawals (before age 591/2). Fail to follow them and you could face early withdrawal penalties from the plan administrator as well as taxation from the Internal Revenue System (IRS). Sadly, you can still lose money when you follow the rules of the plan. For example, you could lose money from losses or gains in the 401K if the divorce decree uses a percentage to divide the account, rather than an exact dollar amount.
Illinois Divorce Basics: How Long Will You Receive Alimony Payments?
Alimony, otherwise known as spousal maintenance, is not routinely awarded in Illinois. However, it is an element in some divorce cases. Learn how determinations regarding alimony are made, including how long you can expect to receive payments, and discover how a seasoned divorce lawyer can help you pursue the most favorable outcome in your case.
Illinois’ Statutory Guidelines on Alimony
Most of the time, family courts use a set of statutory guidelines to determine the amount and duration of alimony payments. While the court may deviate from these rules, they must either provide a valid reason for doing so, or the combined annual income of the parties must amount to more than $500,000. In those instances, the court may weigh several factors to determine the amount and duration of alimony payments (i.e. the length of the marriage, contributions of each party to the marital estate, ability to work, education, etc.). Otherwise, an alimony award is usually determined using a two-step process.
Divorce Planning - 3 Ways It Can Help Improve Your Financial Future
Divorce can be a massive undertaking that has lasting emotional and financial implications for all involved parties. Divorce planning - a process in which parties plan for a divorce before they file - can help to mitigate many of the potential issues. Learn more about how it can help to improve your financial future and discover how a seasoned divorce lawyer can protect your interests and assist you with the process.
Obtain a Clear Understanding of Your Financial Situation
Studies suggest that approximately one in five married people hide money or debt from their spouse. What does that mean for you and your divorce? Perhaps nothing, but if your spouse happens to be one of the 7.2 million spouses that are being financially dishonest, you may be in for a big surprise once the divorce proceedings start. You could also be at risk for dissipated assets, crippling debt, or a reduced settlement in your divorce. Divorce planning not only helps you uncover hidden debt and money, it can also ensure you have the time, knowledge, and resources to effectively prepare for how such issues could impact your life in the long run.
Determining Who Covers Child-Related Expenses After an Illinois Divorce
When parents go through a divorce, they must determine how to divide the cost and responsibilities associated with raising their child(ren). Child support is sometimes awarded to the parent with the most time with the child, but even still, there may be added expenses not covered by the supporting parent’s legal child support obligation. Learn how you can determine who should cover child-related expenses after your Illinois divorce, and discover how a seasoned family law attorney can assist you with the entire process.
Child Support in Illinois - Understanding the Obligation
Under state law, children have the right to receive emotional and financial support from both of their parents. Child support helps to ensure that financial need is met. However, not all parents are obligated to pay. Instead, the state uses the income of both parents, the average cost of raising a child, and the amount of parenting time awarded to each parent in order to determine how much support (if any) is owed.
Women: Beware of These Nasty Financial Surprises During Your Illinois Divorce
Divorce can negatively impact almost anyone, but women are more prone to experiencing nasty financial surprises during the dissolution of their marriage. Much of this is because women often abdicate financial responsibilities to their spouses, so they are unaware of what they own and unprepared for the division of assets. Thankfully, there is a way to remedy the situation. Learn more in the following sections, including how a seasoned Illinois divorce lawyer can protect your interests and increase the chances that you will have a healthy financial future.
Nasty Financial Surprises Impact Nearly Half of All Divorced Women
In a study from Worthy, an online marketplace, nearly half of the 1,785 women surveyed experienced a nasty financial “surprise” during the divorce process. Those surprises varied, depending on how and if they managed their finances during the marriage, but some of the most common, unexpected issues that women experienced included:
Back-to-School Season is a Great Time to Reexamine Your Illinois Parenting Plan
Divorce may end a marriage, but it does not end the co-parenting relationship between a couple. In fact, children of divorce tend to fare best when both of their parents work together to protect the child’s best interests - and not just immediately after the divorce, but also as the child grows and their needs change. Back-to-school season is a good time to reexamine a child’s situation and consider if changes to the parenting plan may be in order. Learn more in the following sections, and discover how a seasoned, competent family law attorney can assist you with the process.
Putting Your Child’s Needs First
It is normal for parents to be protective of their time with a child; they grow up fast. Yet, it is critical that divorced couples consider and attempt to meet their child’s needs in every way possible. Part of this is because studies have shown that divorce does not necessarily create problems for children. Instead, children tend to experience poorer outcomes (i.e. struggling with relationships as an adult, poor academic performance, behavioral issues, etc.) when there is a great deal of contention between the parents. You and your spouse can protect your child from such outcomes by placing the needs of your child over your own wishes and desires.
New Tax Law May Require a Reexamination of Your Prenuptial Agreement
If you signed a prenuptial agreement before the start of your marriage, you are among the small percentage of couples that decided to “insure” your assets against the devastating effects of a nasty divorce. However, a new tax law may now require you to reexamine (and potentially make changes to) your current agreement. Learn more in the following sections, including how our seasoned divorce lawyers can assist you with the process.
How the New Tax Law May Affect the Provisions of Your Prenuptial Agreement
If your prenuptial agreement includes a provision for alimony, you may need to reexamine it, as the new tax law changes how alimony is handled after a divorce. Though alimony was once considered a deduction that payers could claim to lower their tax load at the end of the year, it will become nothing more than an added expense in divorces that occur after December 31, 2018, as the new law eliminates it as a deduction. Since the paying spouse is typically in a higher tax bracket than the receiving spouse, this change may leave less money for the family unit.
Dividing Cryptocurrencies in an Illinois Divorce
Cryptocurrencies were introduced in 2009, which means they are just now starting to show up in divorce courts. Sadly, the law is finding that there are numerous complications when attempting to divide cryptocurrencies in an Illinois divorce. Painstakingly difficult to trace and highly volatile when it comes to value, cryptocurrencies are making for some highly contentious cases. Learn more about them in the following sections, and discover how a seasoned divorce attorney can help improve the overall outcome in your case.
Cryptocurrency as a Hidden Asset in Divorce
A lot of people invest in cryptocurrencies because they enjoy the anonymity that they offer. Unfortunately, the very appeal of cryptocurrencies is what also makes them problematic in divorce. Often associated with money laundering, tax evasion, and other illegal acts, cryptocurrencies can be hidden by spouses who wish to keep more than their fair share in a divorce. It is possible to trace them down, even if they have been pulled offline and put onto a USB, but the process can be lengthy and costly. The time and cost associated with this process can further complicate the divorce process, and it only adds to the other issues associated with dividing cryptocurrencies in an Illinois divorce. However, to ensure one’s financial stability in the future, it is important for spouses to formally and specifically request documentation on cryptocurrencies during the discovery process of their divorce.
Have a Friend Going Through Divorce? Study Says It Could Be “Contagious”
If you have a friend going through a divorce, science says you could be next. Why is this, and what do you need to know before moving forward? The following information explains, and it provides you with some important details on how a seasoned divorce lawyer can help improve the overall outcome in your Illinois divorce case.
Is Divorce “Contagious?”
Although divorce shares very little with the common cold, scientists say it could be just as “contagious.” Researchers from Harvard University, Brown University, and the University of California at San Diego conducted the largest study on the subject to date, and they found that having a divorced friend increases your chances of pursuing a divorce by 75 percent. Your risk also increases if a friend of a friend goes through a divorce - by about 33 percent.
Relationship experts say this phenomenon can be easily explained; misery loves company, so if a friend is complaining about their spouse, you are more likely to chime in and discuss your own issues. Then, if that friend divorces, you may witness them going through temporary relief, and potentially even a little bit of a high when they pursue new relationships. That can look pretty appealing when your own marriage feels stale. Conversely, if your marriage has been rocky for a while, you may envy your friend’s newfound freedom and want to seek it out yourself.
Helping Children Adjust During a Separation or Divorce
Although divorce can negatively impact all involved parties, children are considered especially vulnerable when a separation occurs. Factors like contention between the parents, parental alienation, or financial losses that may occur during the divorce can further increase the risk of long-term complications for kids. Thankfully, there are things that parents can do to mitigate the issues for their children. Learn more in the following sections, and discover how a seasoned divorce lawyer can assist you in the process.
Understanding the Risks (and Their Causes) for Children of Divorce
Divorce is a process that involves the separating of parents. Children tend to experience a lot of negative emotion because they have little say or control over the process. That can create a whole host of issues, such as anxiety (including separation anxiety), depression, a lack of interest in their social life or extracurricular activities, and trouble concentrating or performing at school. If not addressed, these issues can plague children for the rest of their lives. Moreover, studies have found that children of divorce are more likely to experience trouble with the law, and they may struggle more to maintain long-term intimate relationships as adults.
2224 W. Ferry Road, Unit 113, | |
1776 S. Naperville Road, Building A, Suite 105, | |
321 N. Clark Street, Suite 900, | |
58 N. Chicago Street, Suite 102, | |
2407 West Lockport Street, Suite 201-H, |
Contact Our Firm
The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.
I have read and understand the Disclaimer and Privacy Policy.
