A divorce settlement agreement details everything that you and your spouse have worked out such as the division of marital property and debts, how you will share custody of children, whether one spouse will pay spousal maintenance, and other issues that will have to be resolved to finalize your divorce.
Child Support and Miscellaneous Expenses
Although child support is calculated using a formula that takes into account each parents income and the amount of time they spend with the children, there are a number of miscellaneous expenses above and beyond standard child support that parents should anticipate. Anything from school supplies or back to school clothing to fees to play extracurricular sports add up. A detailed divorce settlement agreement can include how one or both parents will be reimbursed for miscellaneous child related expenses.
Spousal support is often payable if one spouse is a higher income earner than the other or in cases where one spouse left the job market to stay home with the kids. Spouses can agree that spousal maintenance will be paid for a period of time until the lesser earning spouse has an opportunity to obtain gainful employment. They can agree to terminate the spousal maintenance at a specific date in the future.
Life Insurance for Children and Spousal Support in a Divorce
If one spouse pays child support or spousal maintenance, it is a good idea for spouses to include a provision that the paying spouse will secure life insurance to cover the obligation in the event of death. Spouses can also agree that the spouse who covered health insurance for the children through his or her employer will continue to do so after the divorce.
Typically, when there are children involved, one parent may wish to stay in the family home at least until the children are raised or one spouse may just who want to stay on because of an attachment to the property. As part of the settlement agreement, spouses will want to include whether they will sell the home outright and split the proceeds or agree to a timeline for one spouse to finance the home on their own. If the house will be sold, details regarding the sale of the home can be included.
Questions about Divorce? Contact Ronald L. Bell for Answers
These and many other issues should be included in a divorce settlement agreement not only to avoid misunderstandings in the future, but also to protect you financially and look out for your child’s best interests. Understanding the issues will help you to make the best decisions for you and your family. Contact Ronald L. Bell & Associates for immediate assistance at 847-495-6000.