Tag Archives: Divorce

McKenzie Bezos: 4 Wealth Strategy Concerns

McKenzie Bezos: 4 Wealth Strategy Concerns

Because of the extensive media attention, celebrity divorces provide us with a look into the financial complexities of high asset divorce. Recently, Jeff Bezos, founder of Amazon, and his wife, MacKenzie, managed to arrive at an agreement outside of the court so that the details remain private.  The couple managed the press without any accusations or airing of dirty laundry which may have helped them reach an agreement quickly. There are some lessons to be learned from their divorce as well as financial concerns to be addressed as highlighted in this article.

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The Financial Challenges of Women in Transition

Women facing difficult transitions could benefit from professional financial advice.  Such major transitions include divorce, illness, and loss of a spouse. Each of these changes may have a negative effect on a person’s financial capacity to meet life goals, such as paying for children’s college expenses, maintaining a comfortable lifestyle and retiring as planned. This article describes difficult transitions and provides links to some helpful resources.

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Advice for Boomer Same-Sex Couples Facing Divorce

Same-sex couples may encounter additional and unique difficulties during divorce. Same-sex marriage was legalized in 2015 and before that some states allowed for domestic partnerships. In such cases, it may be necessary to dissolve the domestic partnership in addition to the legal marriage. If a couple lived monogamously prior to the legal marriage, there is a question as to whether that period will be considered for alimony determination. Finally, the parental rights to children must be determined. Same-sex couples may be best served by alternate means of marriage dissolution, i.e. mediation and collaboration, and the help of a divorce financial specialist. For further information, read this article.

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Trusts, Buy-Sells, Prenups: A Rubik’s Cube Of Traps And Worries

The Tax Cuts and Jobs Act of 2017 (TCJA) has eliminated the deductibility of alimony after December 31, 2018. It is expected that the loss of the payer’s tax benefit may have the effect of reducing alimony payment to the payee. This article proposes some options and drawbacks to consider relating to the TCJA, prenuptial agreements and estate planning.

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Counting the Miles (And Other Hidden Assets in Divorce)

The divorce process requires taking stock of your finances.  You will be expected to provide a detailed accounting of your assets and debts, as well as your income and expenses.  If you and your spouse use credit cards and earn rewards or airline miles on trips and purchases (including work-related transactions), these rewards and miles are considered marital assets and are subject to equitable distribution. Read more in this article.

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