The financial repercussions of divorce in Massachusetts can affect all parties going through the process. Fees and other expenses related to the proceedings can at times be burdening for some parties, but the monetary implications do not end there. Property division decisions can continue to affect individuals’ finances after the agreements have been made and the ownership of assets determined.
Taxes are a big reason why division of the assets can have a considerable financial impact. If taxes are not considered when dividing property, an individual may find that they did not come out as well as they may have imagined. Therefore, it is important to examine assets from an after-tax point-of-view that will allow the true worth of certain property to be determined along with how that could affect the receiving party.
Determining who will maintain ownership of the home can also play a significant role in the division process and affect the finances of the parties involved. If one party maintains ownership of the house and the other moves to a different location, looking into the tax implications of such a transfer could be prudent. There are also different aspects to consider if both parties maintain ownership of the home while only one of the individuals remains living in it.
The property division process can be a complicated one in some situations. As a result, understanding how the proceedings are handled in Massachusetts and what regulations could come into play may lead to a less stressful procedure. Many repercussions could stem from maintaining ownership of certain property, and the more information an individual has on the topic, the more able they may be to make the best decisions.
Source: nerdwallet.com, “Divorce: Making Sense of the Confusion“, J. Kevin Stophel, June 3, 2014