Strategic Divorce: A Bittersweet End to a Happy Marriage?
Some people stay married until one of them dies, despite being bitter enemies. Others get divorced, even though they still love each other. In most of these cases, they divorce after realizing that, no matter how strong their love might be, they are incompatible. Whoever said that love conquers all has never seen it try to conquer addiction or meddlesome in-laws. Divorce is painful in these circumstances, but it is even more painful when the only thing motivating you to divorce your spouse is illness, with its attendant financial hardships, the very things which, in your wedding vows, you promised would never tear your marriage apart. Estate planning lawyers call it strategic divorce, when you legally dissolve your marriage because there is a financial benefit to doing so, but it still feels like walking out on your spouse in his or her time of need. For help staying together with your spouse after you divorce to avoid losing Medicaid eligibility, contact a Boca Raton divorce lawyer.
How Does Strategic Divorce Work?
Couples who get a strategic divorce do it because they are in a vulnerable financial position, and one spouse is in poor health. The effect of the divorce is to make it so that the less healthy spouse owns little or no property, making him or her unquestionably eligible for Medicaid. Meanwhile, the healthier spouse keeps the lion’s share of the marital property. Since the couple is no longer legally married, they no longer have to worry that Medicaid will force their estate to sell the house and pay the proceeds to Medicaid after both spouses have died; there is still a chance that the couple’s younger family members can inherit the house when both spouses are gone.
Medicaid eligibility is the most common reason that couples file for strategic divorce. If you are old enough to be eligible for Medicare, it only pays for 100 days of nursing home care. If you are younger than 65, you are on your own to pay for nursing home care no matter the length of your stay. People who do not have savings or long-term care insurance have no choice but to rely on Medicaid to pay for their treatment in residential treatment facilities.
Besides Medicaid eligibility, some people get a strategic divorce because one spouse is responsible for burdensome tax obligations that the other spouse could avoid just by getting a divorce. Likewise, some couples divorce so that one of them can discharge medical bills or credit card debts in bankruptcy. Some people even go through strategic divorce because getting access to a retirement account through a QDRO is easier than accessing retirement savings while the couple is still married.
Contact Schwartz | White About Strategic Divorce
A South Florida family law attorney can help you if you are getting a divorce purely for financial reasons even if you are committed to staying with your spouse as a family unit. Contact Schwartz | White in Boca Raton, Florida about your case.
Source:
msn.com/en-us/money/other/four-reasons-to-consider-a-strategic-divorce/ar-AA1t5c7s?ocid=msedgntp&pc=ACTS&cvid=a851560a9629418cbd3350fcdaf25fb3&ei=53
