...he isn't walking away. Sounds like he has already agreed that he will pay SS and is even willing to negotiate a lump sum... perhaps the amount is in question, but doesn't sound like he is leaving you high and dry.
Announcement
Collapse
No announcement yet.
Spousal Support as a lump sum? Any down-side to this?
Collapse
X
-
My salary of 70K comes from our joint business. He considers paying me his share of equity in the house as his lump sum of SS but only if he also takes on the business 100%. So combining the two is his offer. So my income will no longer exist and I will not have any ongoing financial support as I start back to school/work.
While I've been doing the bookkeeping for our business - that's not where my education is - I'm self-taught. I need to go back to school to gain credentials before I can look for work. So I'm high and dry for the next few years...
I have contacted a business evaluator. I would like to know what our business is worth and expect to be compensated for my half as part of this negotiation.
Comment
-
Couldn't he argue that you ARE employable given you have done bookkeeping etc? I'm not being difficult at all, just pointing out what jumps out at me. You have skills as you did the bookkeeping and likely other admin things too.
As for credentials, I'm all for schooling. But I think you might be hard pressed to pass yourself off as unemployable or without skills to gain employment. That you will want to speak to a lawyer about too. As this might weigh into your ultimate decision on how to proceed with SS.
Comment
-
Originally posted by stripes View PostAs surely as the sun rises in the east, a thread about spousal support gets hijacked by an individual with his own particular drum to beat.
To the OP: I think what you need is first a financial planner and then a lawyer. The former will help you figure out the tax implications of a lump-sum payment vs ongoing spousal support (in my non-expert view, this is the biggest unknown in your situation), as well as providing advice about planning for retirement (if you're just shy of rule-of-65 and you need to spend a few years to retrain, you don't have that many years during which you can save for retirement). A lawyer can advise you how much it might cost to push for monthly payments, which can help you decide whether it's worth the court costs to fight for something other than a lump sum.
If you don't know a financial planner, ask your bank to recommend one.
Also, without knowing anything about your business, I find it hard to believe that your contribution to it is worth $0. You should be entitled to a share of that asset, independent of any spousal support calculations.
Comment
-
Originally posted by Once.is.enough View PostConsidering that it is separate from equalization it may be considered a generous offer.
I'm finishing up the details to finalize my financial statement now. How would this change things?
Comment
-
And the resumes are going out...many many resumes...
I'll still register for courses for september while I job hunt but the only response back was in regards to my education. "you graduated as a graphic designer 20 years ago but you're now a bookkeeper? but only in quickbooks? anything else???" yup...need more education. I'm hoping part-time con-ed will be enough so I can still be active looking for work and hopefully find something but it's been recommended that I go back full-time. Sheesh - I feel I've already done this once and I'm now thrown back to start again but I will do it. It's just going to take time and being cut-off will not allow me that.
Comment
-
I received a salary commensurate with how the business faired each year. Some years it was 95k and other years it was 45k. I believe the OP stated that she essentially income split with her ex/business partner. In other words, she shared the profits equally with her equal partner who happened to be her husband.
Determining SS in this instance will invariably look at the standard of living the two of them jointly enjoyed. Her contribution to the family and business (full partnership) is an important factor. In my instance I didn't have anything to do with the day-to-day operation of the trucking business's equipment and supervision of employees. My then-husband/partner did not have anything to do with the office/financial aspects of the business. Each party has their individual responsibilities. The OP's husband's career is flourishing and he is going to triple his salary. The OP, on the other had has no income because of the end of the marriage. This is a breach of contract and when someone breaches a contract (in business or in marriage) damages are assessed and paid. Nothing mysterious about this at all.
The last time I checked, bookkeepers make approximately 25.00/hr as employees in a small company (more or less depending upon what part of the country you live in). In order for her to get a bookkeeping position she might have to have post-secondary education and/or certification. She mentions that she is self-taught.
I don't believe that the OP will have a problem with demonstrating entitlement. As she has basic employable skills she could be imputed with a minimum wage unless she is successful in applying for and being accepted to a post-secondary institution which offers legitimate degrees. Very few judges are against higher education leading to rewarding careers.
One thing that you should consider is that your husband may or may not go on to make a fabulous salary. Unless a signed contract of this new job/partnership is presented, I believe the SS settlement will be based on the current years' earnings with an annual review. What you have to determine is the quantum that will be examined on an annual basis. This is the most important part of the SS agreement IMO.
You most definitely should have good competent legal advice.
Comment
-
Originally posted by Once.is.enough View PostAlthough I wholeheartedly think spousal suport is legal robery here is a link you might want to read.
http://www.jml.ca/wp-content/uploads...Instrument.pdf
Given the intricacies involved in the legal theft from your ex it might Be prudente to invest some of your Exes money on legal advice.
This is a good link and might provide the OP with some valuable information.
Comment
-
The last time I checked, bookkeepers make approximately 25.00/hr as employees in a small company (more or less depending upon what part of the country you live in). In order for her to get a bookkeeping position she might have to have post-secondary education and/or certification. She mentions that she is self-taught.
Btw, most bookkeepers I know make upwards of $40 an hour.
Comment
-
Well I should change jobs then. Bookkeepers (with Quickbooks or Simply Accounting) - not CGA's, only make the 40.00/hr+ rate in Alberta if they have their own business and contract themselves out to small businesses. I had occasion to hire a bookkeeper a number of years ago and I recall I paid 30.00/hr for someone with over 20 yrs experience. Often people hire a bookkeeper through their accountants and they usually have completed a few years of the CGA programme to work in this capacity for a CA. I'm sure it differs from province to province.
Minimum wage is 11.00/hr and is a normal starting point to impute income I believe. Just because someone works in their own business does not mean they are going to go out into the workforce and earn the same. When you are in business for yourself you are rewarded for the risk of being in business and the time and effort you exerted to get the business off the ground as many people do not take a salary for the first few (or more) years of being in business. This is often the case for a stay-at-home mother who does the family company books.
Comment
-
Originally posted by momof2teenboys View PostI'm not clear what you mean? How is it considered separate from equalization?
I'm finishing up the details to finalize my financial statement now. How would this change things?
This would include the business. House ect.
Once you get your head around all the numbers and inform yourself regarding the family law act then you can decide if your ex is playing fair or not.
For example if he is offering you his half of the house as spousal and then offers you half the value of the rest of your joint assets in cash his offer may be fair.
You really need to see a lawyer but you should try and educate yourself about the legal financial ramifications of divorce.
Comment
-
I was thinking about this last night, OP, and I think you should not accept his offer on the house equity in lieu of. I'm not sure you'll have the income post separation to pay for the monthly upkeep of the matrimonial home while you are in school. You perhaps might want to consider selling and downsizing, particularly since your children are in their teens and within 10 years may be out of your home.
According to payscale, average bookkeeper salary is $17/hour but I can't imagine if you haven't ever worked for anyone outside of your house you would be offered that rate. We pay ours a little more, but she has been with us for years.Start a discussion, not a fire. Post with kindness.
Comment
-
Originally posted by mcdreamy View PostI was thinking about this last night, OP, and I think you should not accept his offer on the house equity in lieu of. I'm not sure you'll have the income post separation to pay for the monthly upkeep of the matrimonial home while you are in school. You perhaps might want to consider selling and downsizing, particularly since your children are in their teens and within 10 years may be out of your home.
According to payscale, average bookkeeper salary is $17/hour but I can't imagine if you haven't ever worked for anyone outside of your house you would be offered that rate. We pay ours a little more, but she has been with us for years.
this would enable her to keep the house work at macdonalds and still be living reasonably well
there are too many variables at play and she needs assistance from professionals to make an informed decision
Comment
-
I had considered (as the payor) to provide a lump sum payout...and it was suggested that the agreement had best be iron clad....or double iron clad LOL... There have been instances where the payor has paid out a lump sum payment - and as indicated (the payor received no tax relief and the receiver no tax payable) but after a year the money was squandered. The receiver went back to court and argued the need for SS - and was awarded it.
That was enough of a scare for me to simply pay my monthly amount as required.
I am not saying all recipients are that way - but the fact that it was successfully argued scared the hell out of me....
Comment
Comment