A fair divorce settlement equitably meets the needs and address the concerns of all parties to the divorce, including husbands, wives, and their dependents. A fair settlement adequately addresses current conditions as well as future considerations for all of the parties involved. For a divorce settlement to be truly fair, both parties to the divorce must completely understand, and agree with, the terms of the divorce. There are several critical components in a fair divorce settlement.
Current Financials
A fair divorce settlement will address current financial concerns, which can include:
- Sale of a home, and the equitable division of the proceeds of the sale. If the home is to be given to either party in the divorce, adequate housing accommodations must be made for the other party. Consideration must also be given to the cost of maintaining the home.
- Sale or equitable division of other assets, including cars, boats, second homes, and other property. Again, if any of these assets are to be kept, consideration must be given to equitable division of assets and to future maintenance expenses.
- Appropriate division of debt, and development of specific repayment plans. In particular, debt that remains after property is sold should ideally be:
- Assigned to only one of the parties in the divorce for repayment
- Remain in the name of only one party. Credit card accounts and open lines of credit that remain in the name of both parties can result in serious problems in the future.
Future Financials
A fair divorce settlement will not only meet each person’s current financial needs, but will account for future needs. For example, such a settlement would include:
- Adequate consideration given to retirement funds owned by both parties in a divorce, and an equitable division of relevant funds
- Specific plans with regards to child support and alimony money to be paid
- Detailing who is responsible for children’s future college tuitions
Children and Other Dependents
A fair divorce settlement will not only address current and future financials, but it will also fairly address the needs and custody of children and other household dependents. Specifically:
- Custody and visitation – parents must clearly define who has custody of children, and how visitation is to work.
- Other dependents – elderly parents who reside with the divorcing couple and who are dependent on one or the other party to the divorce stand to be greatly affected by a divorce. A fair settlement will adequately meet their needs.
Getting Help
Because each divorce is different, it is impossible for the average layperson to know if the divorce settlement he or she is being asked to sign is fair. As such, it is important to have a qualified lawyer look over any proposed divorce settlement. Your lawyer can help you to ensure your rights are protected and that any agreement is equitable.
