Abney at Law, P.C.
Call Today for a Free Consultation
301-850-4972

family law Archives

Costly aspects of property division in divorce

Fees for legal or financial advice only scratch the surface of divorce costs. When a couple in Maryland possesses assets, taxes and housing expenses can cut deeply into the value of a divorce settlement. People over the age of 50 experience higher long-term costs because they often have substantial assets and limited time to rebuild a retirement nest egg.

How divorce affects taxes

Maryland couples who are getting a divorce should keep in mind that there will be a change in how they file their taxes as well. Marital status is determined by what a person's status was on the last day of the year, so at this point a person will either file as single or head of household depending on whether there are dependents. An annulment will require that amended returns be filed for the years of the marriage since an annulment means that the marriage never actually took place.

Handling IRAs and 401(k)s in a divorce settlement

On average, an individual pays $15,000 to complete the divorce process. However, this amount could be higher or lower depending on the circumstances of a given divorce. While some Maryland residents may consider using their retirement savings to help cover this expense, there may be better ways to do it. Taking a withdrawal from a 401(k) or IRA without a divorce decree may be more expensive in the long run.

Office Location

Abney at Law, P.C.
1 Church Street Suite 910
Rockville, MD 20850

Phone: 301-850-4972
Fax: 866-330-8861
Map & Directions

Email Us For A Response

Arrange A Free, Personal Meeting With Me

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy