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What are we each entitled to in our divorce settlement?

What does the law say about how to split the house, how to share pensions and other assets, and how much maintenance is payable.

What steps can we take to reach a fair agreement?

The four basic steps to reaching an agreement on divorce finances are: disclosure, getting advice, negotiating and implementing a Consent Order.

What is a Consent Order and why do we need one?

A Consent Order is a legally binding document that finalises a divorcing couple's agreement on property, pensions and other assets.


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Basis of asset calculations

  • Cefnhir
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29 Feb 08 #15361 by Cefnhir
Topic started by Cefnhir
Could anyone explain the principle lying behind the calculations in 'Processing Assets'? For instance, what does the 10% increase for each year of marriage relate to? Surely the increase in value of the assets has already been taken account of?

I also thought that in a longer marriage (8 years) the starting point was a 50/50 split, rather than a calculation based upon the pre-existing assets? The outcome - 60:40 in my favour - is gratifying, but I just wonder how realistic it is?

Also, the help menu for the 'General Info' section says 'enter your current ages', but there doesn't seem to be any box in which to do this.

Where is the 'full help' guide that is referred to?

  • DownButNotOut
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02 Mar 08 #15549 by DownButNotOut
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Cefnhir,

Re:The 10% transfer for each year of marriage.

Assets acquired during marriage are joint.

Assets held before marriage are:
1) Kept by the individual in case of very short marriages.
2) Fully part of the joint pot for long marriages.

So somewhere between a short and long marriage .... what were individual assets (held pre marriage) are deemed to gradually become joint assets over the course of the marriage. And after 10 years they are totally joint assets.

Consider a 100k house owned by husband pre marriage. The 10% per year transfer results in this....

After 1 year:...90K belongs to H..10K is joint
After 2 years:...80K belongs to H..20K is joint
After 3 years:...70K belongs to H..30K is joint
After 4 years:...60K belongs to H..40K is joint
After 5 years:...50K belongs to H..50K is joint
After 6 years:...40K belongs to H..60K is joint
After 7 years:...30K belongs to H..70K is joint
After 8 years:...20K belongs to H..80K is joint
After 9 years:...10K belongs to H..90K is joint
After 10 years:...0K belongs to H..100K is joint

The above is a benchmark/approximation....there is no fixed law on this 10% figure.....it is just the best the calc can do.


50/50 is the starting point for asset split.

But where needs of the parties exceed the available assets then the asset split can be skewed towards the financially weaker party....typically the housewife with the kids.

So 60:40, 70:30 are quite common.

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03 Mar 08 #15598 by Cefnhir
Reply from Cefnhir
That's really helpful - thanks!

Could you also explain something about the maintenance calculation. In my case it has decided that no maintenance is due, but it talks about both my wife and I having to reduce our budget to £0 - what's that about?

Did you have any insight into the apparent absence of a question about age on the calculator and where the 'full help' guide is?

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03 Mar 08 #15599 by Cefnhir
Reply from Cefnhir
That's really helpful - thanks!

Could you also explain something about the maintenance calculation. In my case it has decided that no maintenance is due, but it talks about both my wife and I having to reduce our budget to £0 - what's that about?

Did you have any insight into the apparent absence of a question about age on the calculator and where the 'full help' guide is?

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