Divorce and Taxes

The below information is in NOT tax advice, but simply to inform on the effects of divorce. Consult with your accountant when making all tax decisions.

When contemplating divorce it is important to acquaint yourself with the special rules in the tax code. Here are a few examples.

Dependency Exemption. The tax code provides for a special exemption for a custodial parent of a child known as the dependent exemption. This exemption entitles a custodial parent to claim an exemption of $3,950 for each child.

A noncustodial parent may claim this exemption with the consent of the custodial parent. To do so the custodial parent is to sign an IRS Form 8332 Release of Claim to Exemption for Child of Divorced or Separated Parents, which is then attached to the noncustodial parent’s income tax return. The custodial parent is still entitled to claim Head of Household and able to qualify for Child Care Credits, Exclusion for Child Care Benefits and the Earned Income Credit.

Child Support. “Child support is not deductible to the person paying it nor is it taxable income to the recipient.”

Alimony. Alimony, unlike child support, is included in the recipient’s income for tax purposes and taxed at “ordinary income tax rates.” The individual paying the alimony is entitled to take a deduction.

How To Choose The Best Divorce Lawyer

Going through a divorce is a struggle, but choosing the right divorce lawyer could make all the difference. Taking the time to find the right divorce lawyer can make for a smoother process and lead to better results. If you are someone who doesn’t know where to begin when looking for a divorce lawyer, there are some simple steps you can follow to help you along the way.

First off, do your research. You can find plenty of divorce lawyers in your area just by searching the web. Educating yourself is the best way to begin. This will help you realize your needs and preferences. After putting together a list of those lawyers, you can then begin to narrow them down based on their reviews and the type of lawyer they seem to be. For example, search for an aggressive lawyer if you want them to fight hard for every single thing you want. Others may just look for one who will do the paperwork. This is up to you to decide.

Next, look to your loved ones for advice. Your friends and family are the best people to ask because they are easy to trust. You can compare their recommendations to the ones you’ve researched. Hearing their first hand experiences can ease your mind and save time. After hearing some advice from your family and friends, you can then begin to narrow your options down further by contacting your desired choices.

Contacting each of the lawyers will provide you with all of the final details you need. Make sure to ask questions regarding contact information, price, court information, availability, where the money goes, refund details, and what he or she thinks will become of this case.

Following these steps will help you to find the lawyer that best understands your situation and your needs. If you know exactly what you want from your divorce lawyer, then don’t settle until you find one that can achieve that.

Voted Long Island’s Best Divorce Lawyer with over 30 years of experience in Divorce, Child Custody, Adoption, Same-sex divorce, Pre- and postnuptial agreements, Father’s rights, Separation agreements, Protection orders and Meditation. To help keep your legal costs at a minimum, call (888) 429-4459

- See more at: http://bestlongislanddivorce.com/blog/how-to-choose-the-best-divorce-lawyer/#sthash.x4pOx3IZ.dpuf

Pre-Nuptial Agreements on Long Island

It is important that both parties to a marriage are aware of their partner’s assets, debts, and income before and during the marriage. Marriage being an economic partnership, you and your spouse should identify what each of you is willing to share.

An option to spouses that wish to keep certain assets their own separate property is a Pre-Nuptial Agreement. This pre-marriage agreement is a legal contract between spouses which “addresses financial issues” and “any other issues” that you and your spouse might deem important. Such issues could include children, religion, career support, etc.

A Pre-Nuptial Agreement can protect a person’s property that may have accumulated property and investments earlier in life. It is important to consider “existing or future pensions, businesses, educational degrees and debts” as marital or separate property. Such an agreement might be necessary as “items that are brought into a marriage and commingled with income or property acquired during the marriage may become an asset of both spouses.”

Preparation of a wedding should include full financial disclosure and if necessary a pre-marriage agreement. The attorneys at Simonetti & Associates have years of experience drafting such agreements. Seek out their advice today.

Reference: Sherri Donovan, Esq., Should My Fiancee And I Have A Pre-Nuptial Agreement? (Avaliable at http://www.divorcesource.com/ds/newyork/should-my-fiancee-and-i-have-a-pre-nuptial-agreement–3540.shtml)

Voted Long Island’s Best Divorce Lawyer with over 30 years of experience in Divorce, Child Custody, Adoption, Same-sex divorce, Pre- and postnuptial agreements, Father’s rights, Separation agreements, Protection orders and Meditation. To help keep your legal costs at a minimum, call (888) 429-4459

- See more at: http://bestlongislanddivorce.com/blog/pre-nuptial-agreements-on-long-island/#sthash.3jPsrk37.dpuf

Fathers Right in Divorce/Nassau County

Going through a divorce is complicated enough, but try going through it when there are children involved. Divorce isn’t easy on anyone and it takes a huge toll on the family life. This is why it is extremely important to carefully pick a divorce attorney who will make the process as easy and painless as could be. Simonetti & Associates is the best decision for a divorce attorney in Nassau County.

New York family is written in that both the mother and father have equal rights. However, it is very common that the courts favor the mothers in a custody battle, leaving the fathers feeling completely helpless. Simonetti & Associates has been standing up for fathers in Nassau County since 1990. Their services are quality and cost efficient.

Fathers have been left out in the dark for too long when it comes to custody battles. The court system in New York usually doesn’t award joint custody, but that doesn’t stop attorneys from fighting. The long, drawn out battle leaves the fathers with empty wallets and hopeless. Simonetti & Associates establishes realistic goals and makes sure that their services don’t drive up costs. Your rights are their primary responsibility and they make sure that custody and visitation rights seems fitting.

Simonetti & Associates defends your fatherly right to maintain a loving relationship with your children. Court orders are set out to be fitting to your lifestyle and schedule so that there is no interference with your family time.

Visitation rights and legal custody becomes trickier if the parents aren’t married. Fathers aren’t in favor in the court when they are unwed. Simonetti & Associates advises that fathers who were never married to the child’s mother establish paternity to guarantee any legal rights to a relationship with the child.

If you are a father in Nassau County currently engaged in a divorce, Simonetti & Associates is the best choice for you for legal representation.

Voted Long Island’s Best Divorce Lawyer with over 30 years of experience in Divorce, Child Custody, Adoption, Same-sex divorce, Pre- and postnuptial agreements, Father’s rights, Separation agreements, Protection orders and Meditation. To help keep your legal costs at a minimum, call (888) 429-4459

- See more at: http://bestlongislanddivorce.com/blog/fathers-right-in-divorcenassau-county/#sthash.ZuQRHns4.dpuf

Divorce and Retirement

A common question asked when going through a divorce is “what happens to our retirement after?” It is very typical for a considerable portion of a couple’s assets and savings to be in the form of a 401K, IRA, Thrift Savings Annuities or retirement pension plan. An option may be to hire an actuary or pension evaluator. As the value of one’s pension is generally not defined this individual can be a valuable asset during the divorce process.

In order for the retirement assets described above to be divided a Qualified Domestic Relations Order (QDRO) is necessary. The QDRO essentially instructs the administrator of the retirement plan on how each portion of the funds are to be assigned, whether to the spouse or “alternate payee”. Once the plan administrator approves the QDRO your divorce attorney presents the document to the Court. With this document all transfers will occur at the appropriate time and without penalties. The process can be quite complicated. As such, seek out the advice of the experienced divorce attorneys at Simonetti & Associates.

Voted Long Island’s Best Divorce Lawyer with over 30 years of experience in Divorce, Child Custody, Adoption, Same-sex divorce, Pre- and postnuptial agreements, Father’s rights, Separation agreements, Protection orders and Meditation. To help keep your legal costs at a minimum, call (888) 429-4459

Long Island Divorce and Settlements

Long Island’s Best Divorce Lawyer said this was the appeal of a determination of the Supreme Court, which awarded Plaintiff Wife (hereafter the Wife) outstanding maintenance arrears in the sum of $66,000. The Appellant Husband (hereafter the Husband) brought this appeal citing to provisions of a 2006 Stipulation of settlement, which addressed the issue of maintenance payments.

The 2006 stipulation of settlement provided for spousal maintenance “until the occurrence of the earliest of four specified events, one of which was the [Husband’s] ‘retirement’”. It also provided for a distribution of marital assets. One such asset was the Husband’s retirement plan and 401(k) savings plan through his employment at JP Morgan Chase, of which the Wife was entitled to a certain percentage. In 2009, the Husband was terminated from his employ with JP Morgan Chase and chose to defer his portion of the retirement benefits. The Husband also stopped paying his spousal maintenance obligation.

A Nassau County Divorce Lawyer said the Wife brought an action in 2011 against the Husband seeking an award in the sum of $66,000, which represented the Husband’s spousal maintenance obligation. The Husband contended his termination amounted to “retirement” under the terms of the stipulation and therefore was no longer obligated to make maintenance payments. The lower court’s decision was in favor of the Wife and the Husband moved for leave to renew, which was granted. The Husband argued that because the Wife was entitled to her equitable distribution portion of the retirement benefits that it constituted “retirement” under the stipulation. The Appellate Division did not agree and affirmed the decision of the Supreme Court.

A stipulation of settlement “is a contract subject to the principles of contract construction and interpretation.” The experienced attorneys at Simonetti & Associates have drafted numerous stipulations for their clients. Seek out their advice today.  We serve all of your needs for Divorce in Nassau County and Divorce in Suffolk County.  So if you are looking for help from the firm voted Best Divorce Lawyer on Long Island, give us a call.