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Will Your Inheritance Be Split in a Divorce?

If you’re starting the divorce process, one of your questions may be about your inheritance being split in a divorce. It’s common to wonder whether you have to divide your estate in a divorce. Whether you’ve received that inheritance before marriage or during it, you must understand how inheritance laws work in divorce cases. Inheritance and gifts have specific status under California law. Gifts Are Separate Property in California Under the laws of the State of California, anything given to you as a gift is considered separate property. The good news about inheritance is that it’s generally considered a gift. So that means you theoretically don’t need to divide it at the time of your divorce. Because it was gifted to you, it’s yours. You don’t need to share it, and you don’t have to give half of it to your spouse if your marriage doesn’t work out. At least, that’s the rule in theory. Real-life, however, isn’t always built on theory. Sometimes some other issues or nuances can affect how a divorce is handled. You want to be clear on the truth of the matter, not just what seems like it should be right or fair. In short, be aware that there are exceptions to this “rule.” There Can Be Important Exceptions The biggest reason people end up being required to divide their inheritance during a divorce is that they used it for the marriage or shared it willingly. In other words, whether you will have to divide your inheritance depends on what you did with it. If you have a loved one who passes away while you’re married and leaves you an inheritance, you should keep it separate. If you put it into a joint checking account with your spouse, it’s now community property. You’ve transmuted the characteristics that inheritance had as something that was gifted to you for your personal use. As soon as you commingled it with other joint funds and allowed joint access, you changed how it is seen under the law. If you put it into a joint account, you will have to divide it if you divorce. If you keep it separate, you won’t be required to divide it. That’s such an important distinction. If you receive an inheritance, open a different account that’s only yours, and put the money there. Work With a Trusted Attorney for Guidance If you’ve already commingled your inheritance funds or have questions about how to protect an inheritance you’re about to receive and you’re planning a divorce, getting legal advice is the first step. Reach out to the Mohajer Law Firm today, and let us help you make the right moves and decisions for your inheritance and your divorce proceedings. That can help protect your assets and give you peace of mind as you work through the divorce process. Having guidance and support can help.  

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When To Use Your True Or Imputed Income for Child Support

During your child support case, the judge must perform precise calculations to ensure all your children get the right level of care from each parent. During the calculations, they determine the child’s overall financial needs. Then, they must decide the parents’ support obligations using a variety of factors, including income. To do that effectively, they must decide whether to use actual earnings or imputed income in their calculations. Only then can they determine the appropriate level of support to ask from each parent. Wondering how judges decide which type of income to use? Here’s a look at how it works. Difference Between Actual and Imputed Income Actual income is the money coming into your household on a regular basis, like from your job, investments, or even alimony. On the other hand, imputed income is the money the courts estimate you should be earning based on your industry, job position, and ability to work. The judge will then use the earnings information from prior years to calculate the imputed income figure. They may use past pay stubs, tax returns, and bank statements to complete their calculations. If the parent has not worked in the past five years, the judge may assign a full-time minimum wage income. Why Judges Use Imputed Income in Child Support Cases The decision to use imputed vs actual income is always left to the judge’s discretion. Imputed income only comes into play when the judge feels like one of the parents is trying to skirt their responsibilities. A sudden at-fault termination from their job, reduction in their hours, and other attempts to decrease their earnings are all red flags to the courts. These tactics often arise as a parent finds child support payments challenging, resulting in the desire to reduce income to get out of paying each month. When that happens, the judge may then apply the imputed income into their calculations to spur that parent into action for their child. Although that might not seem fair, all child support case rulings reflect what’s best for the children in question. The only way to avoid having the courts decide to use imputed earnings is by providing that the income reduction was involuntary. Upon doing that, the judge may use the actual earnings to calculate child support payments at that time. If a substantial change occurs in the future, the courts may revisit this matter to ensure the child gets all the care they need and deserve. Need Help with Your Child Support Case? Contact Our Team Today Your child support case can leave you stressed, confused, and frustrated between all the legal and financial terms alone. If that’s your reality, then it’s time to get your own support. All you have to do is call 626-569-5200 to reach our team at Mohajer Law Firm. With just one call, we’ll set up an initial consultation, so you can discuss your case and figure out the next steps. So, please feel free to call today to get the help you need in navigating your child support case.  

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Dividing Separate and Community Property During a Divorce

During your divorce proceedings, the court must somewhat divide up all the assets held by you and your spouse to fully dissolve the marriage. They need to determine which assets fall under separate and community property. Then, they will leave the separate property with the rightful owner and divide up the community property evenly. Wondering how this works? Let’s take a look.  Separate Property vs Community Property  In general, separate property refers to all your assets before getting married, including vehicles, real estate, and retirement accounts. Assets acquired after the separation from your spouse qualify as separate property. In addition, assets given to you through inheritance and gifts from friends stay separate. All assets protected under a pre-nuptial agreement remain separate, too.  On the other hand, community property reflects all the items acquired together during your marriage. Even income earned while married counts along with any assets bought with that money. The only exception to that rule is if you’re earning income from real estate purchased before getting married. If you decided to add your spouse’s name to the income-earning asset, however, it’s community property in the end, including all proceeds.  How the Court Handles the Division of Property  All separate property remains exempt from division during divorce. Only actual community property assets get divided up between you and your spouse. The judge will leave the separate property in the hands of the official owners. Then, they’ll split up the community property 50-50 to complete this process.  The division of community property can get complicated, however. In many cases, the court will award each spouse a percentage of the property’s value. After that, you may need to sell the asset in question or pay your spouse the owed amount to release their interest in the property.  Your lawyer can help guide you through this process from beginning to end. They’ll offer their guidance and expertise as needed to assist in your navigation of each step. You can then complete all the court requirements efficiently and move forward with your new start.  Have Any Questions About Dividing Up Assets During Divorce?  If you’re wondering how your assets will get divided up in court, you can get your questions answered by our team at Mohajer Law Firm. As your premier attorney in Greater Los Angeles County since 2012, we are well versed in how the courts handle the division of property during a divorce.  We’re always available at 626-569-5200 to set up a free initial consultation to discuss your divorce. We’ll sit down you with one-on-one to review the case in full and go over what’s likely to fall under the separate and community property designations. If that sounds like what you need, please feel free to reach out at your convenience to set up an appointment.

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Use caution when dividing debts in a divorce

On behalf of Mohajer Law Firm, APC posted in property division on Thursday, August 17, 2017. California couples seeking a divorce may be anticipating having to divide their assets, but what they may not realize is that they also must divide their debts. And, when they do so, they must take care to do it properly, or there could be financial consequences. It may seem simple enough. Add up all your debts, and then divide the total 50/50. For example, one spouse could take 50 percent of the credit card debts, and the other spouse could take the other 50 percent of the credit card debts. However, even if the spouses agree to this arrangement in writing, the creditors involved need not honor that agreement. If both spouses’ names are on the debt, and one spouse fails to pay what he or she is supposed to, the creditor can go after the other spouse, even if the spouses have a written agreement between each other that says the defaulting spouse is the one liable for the debts. There are some ways to avoid these pitfalls. If real property, such as a family home, is sold, then the parties can choose to use the funds from the sale to pay off their debts. Or, if one party does decide to keep a credit card, he or she can get a new credit card solely in his or her name, transfer the balance from the joint credit card to the new credit card, and then close out the joint account. In the end, when it comes to the division of debts, just like the division of assets, it can help to have the assistance of an attorney. Not only can an attorney explain the legalities of property division, but they can also represent their clients throughout the negotiation process, or even in court if necessary.

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With property division, what is quasi-community property?

On behalf of Mohajer Law Firm, APC posted in property division on Wednesday, June 28, 2017. Certain terms might be confusing when a Los Angeles couple is getting a legal separation or a divorce. Property division is relatively self-explanatory, but when getting into the details, there can be portions that are not as clear. One is quasi-community property. Knowing what quasi-community property is before moving forward with a divorce can make the process easier when determining who has the right to various pieces of marital property. Property acquired by either or both spouses when they were living in a different state is quasi-community property if it would have been viewed as community property had they lived in California at the time of acquisition. What this means is if the couple lived somewhere outside California and there were purchases of real estate, earnings, or acquisition of other forms of property that would be declared community property in California, it falls into this category. If the couple is divorcing in California, it will be viewed as community property. A hypothetical example would be a dual-income couple living in a different state buying a vehicle. They then moved to California. Once they file to divorce or legally separate in California, the earnings from their work and the car may be quasi-community property. This is because California law could state that the vehicle, had it been purchased in California, would have been community property. For couples who lived elsewhere and are parting ways in California, quasi-property might be something they had not counted on and could cause a dispute they had not expected. It is in circumstances such as these and any other factor that arises in a divorce that could make it important to have legal assistance from an attorney who is well-versed in all the aspects of property division.

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Divorce and the kinds of property division in California

On behalf of Mohajer Law Firm, APC posted in property division on Thursday, May 11, 2017. Los Angeles couples who are in the process of ending a marriage will have numerous issues that must be settled. One that is frequently a cause for dispute is how property will be split. Knowing the difference between marital property and non-marital property is one of the most important factors in the satisfactory resolution of a case. This is true whether there are substantial assets worth a great deal or merely items with high sentimental value. Understanding the law regarding property and how it is divided is imperative. There are two separate types of property in a marriage: community and separate. Community property is property obtained during the marriage and was accrued through skill or labor. Spouses might not know that there could be a right to part of the other spouse’s pension. It is possible that a business could be shared even if it was run by the other spouse. In California, each spouse owns half of the community property. If there were debts accumulated during the marriage, these will also be community property. A notable exception is student debt. That will remain separate. The spouses will divide community property equally except in cases in which there is an alternative agreement between the parties. Separate property is that which was acquired prior to the marriage. This includes profits or rents. If there is property that a spouse acquired after the couple was separated and was purchased with separate earnings, it is separate property. An inheritance that was received before the marriage or as a gift to an individual spouse will belong to that spouse and will not have to be shared if it was not commingled with marital property. These items tend to become mixed up as the marriage moves along and it can lead to confusion and disagreements when the divorce is in progress. When a couple decides to end a marriage, property can be the cause for acrimony when both sides want what they deem to be their fair share. Rather than get into an ongoing battle over it, negotiation can be beneficial. In some instances, however, that is not possible. No matter the situation, having legal help that is experienced in dealing with property division can be an integral part of a case and getting what each side believes is deserved.

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