Archive for May, 2009

Social Security And Divorce

Tuesday, May 12th, 2009

Social Security & Divorce Issues

Social Security may be anything but at this point in time, however, for financial planning purposes it is important to look at what the potential may be for future income. 

Adding divorce to the equation can muddle the waters.  Let’s clear up a few questions that I have been asked of late:

·      How is my social security benefit figured – on my or my spouse’s benefits?

Actually, it’s both. 

If you have been married for at least 10 years you are entitled to choose to take either your full benefit or ½ of your ex-spouses, obviously, whichever is greater. 

If you are nearing the 10th year of marriage, it might be worth it to postpone the divorce until you reach the 10 year mark for the additional income that may be allocated to you.  Sometimes substantially more depending on the earnings of your spouse.

·      What if I am currently married or have been married multiple times?

If you are currently married you will be entitled to ½ of that spouse’s income if you have been married at least 10 years.

According to the Social Security Representative I spoke with, “If you have been married multiple times you can choose from the highest amount of any spouse that you have been married to for at least 10 years (as long as you are NOT spouse #5 or greater).”  If you were not married to a spouse for at least 10 years, you are not entitled to any of their benefits.

Note that your ex-spouse’s income is in no way reduced by the amount you receive.  He or she will continue to get their full retirement benefit.   Up to four former spouses can collect benefits on one spouse.  After four, there’s no more!
©2008-2009 Lisa C. Decker, CDFA(TM).

Mediation — What Is It?

Tuesday, May 12th, 2009

Family Law mediation is a process in which the mediator, a neutral certified with the State, meets with both parties to assist in reaching a resolution in all or some of the issues that must be resolved in the case.  It is always helpful in cases involving financial issues when clients bring to the mediation a budget and as much information as possible about their income, assets, and liabilities.  If there is real property involved, it is helpful for the mediator to know the amount of the liens on the property and the approximate current fair market value of the house.  Realtors can be very helpful in giving an estimate of the fair market value, often for no fee.

The mediator helps both parties identify and discuss the issues involved in the case.  Mediators do not judge, make decisions, or take sides; they help parties communicate and hear what the other is saying.  This process is facilitated by the mediator encouraging the parties to talk about their needs and interests in a non-positional manner.  The mediator helps the parties summarize and clarify and define the issues, develop options and resolution possibilities, evaluate and choose options by playing “what if” and reality testing, and drafts any agreement reached.

Mediation is confidential and anything that is discussed in the mediation remains confidential.  If an agreement is reached, the mediator will draft a memorandum of understanding that is clearly written and as detailed as possible so that the parties can use that memorandum as the basis for a future court order.

Parties can engage in voluntary mediation before or after a case is filed, or they may attend court-referred mediation if the policy of the local jurisdiction is to refer all Family Law cases to mediation once they are filed.  Parties are free to choose their own mediator, and lists of certified mediators can be found at the Georgia Office of Dispute Resolution web site, www.godr.org, or at the Alternative Dispute Resolution offices of most counties.

Why You Need A Lawyer

Thursday, May 7th, 2009

The law is complicated and has a lot of intricate rules that most people are not aware of and it is best to have guidance in the area in which you need assistance.  The legal system can be complicated and it is best to have a lawyer guide you through the system.  Family law differs from state to state, and each case is different, both factaully and legally.  Your case is not the same as your friend’s or relative’s case.  In addition, laws change and you need someone who constantly keeps abreast of these changes to advise you.  Local rules differ from county to county within the same state.  Just as you would  not diagnose and treat your own medical problems, let an experienced lawyer  guide you through your legal issues.