fair settlement for us both?

Hi,
Well I now have Decree Nisi, and next need to settle the finances.

We are talking well on this, both wanting a fair settlement.

So what is the problem, you ask?

Well we don''t know what fair is?

Some facts.

Married for 14 years
Lived together for 6 years prior to marriage.

We have one son of 17. At sixth form, and likely to go to uni.

Separated 7 years ago.

I am now in another relationship, the reason for the split. Co habiting and have property with new partner.

A year ago, we sold the FMH to downsize, but I am still joint owner, and all equity was put back in to that house.

She does not work.

I am full time employed.

Finances.

I earn net £3800 per month.

I pay her maintenance child and so on that we agreed of £1720 a month, to cover child maintenance and the mortgages and bills etc.

I have property assets of £124,000 to include both property excluding mortgages( half equity of fmh)
She has assets of £101,500

She has no savings
I have savings of £34,000

She has pension of £4170.00
I have pension of £53,349.00

She has debt of £2,093.00
I have no debts

Ages, we are both 49

Currently, I was thinking that she should get 70% of the pot.

This basically equates to the equity in the FMH.

I would continue to pay maintenance, although once son finishes full time education I would look to stop that part.

She intends to move house when he finishes uni.

She is currently not claiming benefits, but could do....just needs to overcome her pride!

However if we just signed over the house to her, she would have no cash assets or proper pension.

We are also not sure if the court would accept that?

Any advice please


Thanks

Muscrat

so,
on your suggestion she would have a house with equity of £203,000

You''d have equity of £22,500 plus savings of £34,000 giving total capital of £55,500, and would also have your £53,000 penison.


Is there any reason why she doesn''t work? If she doesn''t work beacuse she hasd a disability which means she cannot wok, then the situation is different than if she does not work because she doesn''t want to. Your son is 17 so unless she does have health or other reasons meaning she isn''t able to work, there is no reason why your wife should not work full time.

At the moment, you seem to be paying a very high level of maintenace in comparison with your income.

What are house prces like in your area? I would normally expect that the £200K equirty wouldbe sufficient that your wife would be able to rehouse herself mortgage free if she wished. She is also of an age where she has 11-16 years left in which she could work, so taking out a small mortgage, if she wished to do so, and/or building up some pension would be possible for her.

If you are proposing to continue to pay maintenace until your son leaves university then that would mean that she will have a period of 3-4 years from n now to plan for the changes in her cisumstances, and to find work (even to do some training if she choses)

I is reasonable for your wife to do what she can to maximise her income - whether by looking for work and/or applying for benefits - and it would not be ubnreasonable to consider a gradual reduction of the amount of maintenance payable over the next few years.

You might also want to consider how this will work if/when your son goes to university? Are you going to continue to payyour wife at the same level as now, with her then being responsibile for your son''s expenses, or will you reduce the amount you pay to her, and provide some support directly to your son?

Given your son''s age I think it is reasonable to treat this as a situation where the maintenace is mainly spousal maintenace (your liability for child support would be around £6,840, and will end when your son leaves school, so in effect you are currently paying £13,800 a year in spousal maintenance.

at first glance, the proposals don''t seem unreasonable to me. I think it could be argued that the maintenace you are paying could be a lot lower, as there isn''t on the face of it, any reason why your wife shood not be supporting herself to some extent. (even if she was only able to work for a job at minimum wage she couldearn £11-£12,000 p.a. and in the short term while your son is still in schoool might be entitled to tax credits as well

Hi,

Thanks for the update.

She is not disabled.

She could work, but seems to have it in her head that she doesnt need to becauase, when we were married and our son was born, I paid for everything, so she should still be able to carry on in same way now we are separated.

She could get benefits, but I think she sees that as a lose of pride.

We have discussed the loss of child maintenance, once son has finished uni, and she sees that, or says she does.

Could I transfer the house to her, but keep an interest of £10 to £15K, that when it is sold comes to me, and then give her £10 to £15K cash with the transfer of teh house, so she has some cash to put in to isa / savings

or does this become too complicated?

Thanks

Muscrat

wow- you are paying your wife the same amount of CM that I pay for 3 kids.

By giving her that much a month, you are setting a protocal that will be hard to break as the courts will say you can, have, and should continue to pay that.

Also- by you letting her not work you also set the standard for that so the courts could come back and say that it is ridiculous that you should expect your wife to work after 17 years of not. Ridiculous notion but seems to be not held as so in family courts.

I have had a wide spectrum of advice on here and until the FH comes around I cant say from personal experience what will be granted.

My best advice is to offer what you feel financially confortable with and know where you can manouver and where you cant.