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Financial Matters in Divorce

When you get divorced, the law stipulates that you still have a financial commitment to your ex. This can be a difficult concept for many people to understand, as they believe that when they get divorced, any ties to their ex should be severed. Unfortunately, this is not the case. There are a few things to consider regarding financial matters in divorce, including divorce settlements.

To get help understanding what financial matters will be taken into account during your divorce, speak to one of our family law solicitors on 0161 665 3502.

 

What is a divorce settlement?

A divorce settlement is a financial agreement detailing how you will divide your finances, including any savings or investments, your pensions, and any shared property when you divorce. The financial settlement will also consider the needs of any dependent children.

 

How do you go about getting a divorce settlement?

If both parties agree to the terms set out in your divorce settlement, you can apply to the court for approval. This will require you and your former spouse to draft and sign a consent order which will need to be approved and made legally binding by a judge. You will also need to pay a court fee of £53. There is no need for a hearing, but you may still wish to have a family law solicitor help you draft the divorce settlement and consent order.

If you are considering divorce and want to discuss your financial settlement options, don't hesitate to contact our family law solicitors on 0161 665 3502. We offer free initial consultations to discuss your situation with a legal expert and find out what steps you need to take next.

 

What is a clean break order?

With a clean break order, which is a financial order approved by the court, you no longer have any financial connections with your former spouse. All financial matters will be split according to the judge's decision without future commitments.

This type of court order is usually granted when both parties cannot reach an agreement. At £253, the court fee for a clean break order is considerably higher than that of a consent order and excludes any legal fees for your or your former spouse's solicitors.

 

How is a financial settlement calculated?

A financial settlement is calculated by taking into account several factors, including:

  • Your former spouse's and your income
  • Your individual earning capacities
  • Any investments or pensions
  • Any property you or your former spouse own
  • Any financial obligations and responsibilities each person has towards any dependent children or other people
  • Living expenses
  • Your standard of living
  • The age of each person and how long you've been married

 

What are the benefits of having a financial agreement in place?

Having a financial agreement in place can offer several benefits, including:

  • Peace of mind – by knowing how your finances will be divided, you can avoid any costly disputes down the line.
  • Clarity – having a financial agreement will give both parties certainty about their financial situation following divorce.
  • Security – if you have dependent children, having a financial agreement in place can provide financial stability for them in the event of a divorce.

 

What am I entitled to in a divorce settlement?

In England and Wales, the final settlement you receive is based on what the judge deems fair unless all parties have mutually agreed on specific terms in advance and your solicitors have drafted a consent order.

Otherwise, this could mean you are awarded a percentage of your former spouse's income, given a lump sum payment, or granted ownership of certain assets. You are not automatically entitled to any of your spouse's assets, and it is important to seek legal advice to ensure you receive a fair financial settlement.

How jointly owned property is divided and whether property owned by your spouse before the marriage is relevant will depend on both of yours and any children’s needs.

The way pensions are shared also needs to be carefully considered as pensions are often significant assets acquired before and during marriage and provide a long term benefit into retirement.

 

How can I make sure I get a fair financial agreement?

It is important to seek legal advice from an experienced family law solicitor if you are considering divorce. They will advise you on your financial settlement options and help ensure you receive a fair deal.

 

Who pays for a divorce settlement in England and Wales?

In England and Wales, the party who applies for the divorce pays the court fees. This currently stands at £53 (for an order by consent). If you cannot afford the court fees, you can apply for legal aid subject to eligibility, and if your income is low or you are on passported benefits, you may be exempt or pay a lower amount.

 

How can I make sure I get a fair financial agreement?

It is important to seek legal advice from an experienced family law solicitor if you are considering divorce. They will advise you on your financial settlement options and help ensure you receive a fair deal.

 

Who pays for a divorce settlement in England and Wales?

In England and Wales, the party who applies for the divorce pays the court fees. This currently stands at £53. If you cannot afford the court fees, you can apply for legal aid.

 

I want to get a divorce. Why should I choose Garratts to help with my financial matters?

With over 30 years of experience, Garratts is one of the leading family law firms in Manchester that can provide the specialist advice you need during this difficult time.

If you would like more information on financial settlements in divorce, please get in touch with our specialist family law solicitors on 0161 665 3502, or request a callback. We offer free initial consultations to discuss your situation with a legal expert and find out what steps you need to take next.

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