Many couples in Massachusetts may find it odd to talk about getting a divorce in order to save some money. However, some people have felt that it is in their best interests to divorce on paper in order to save money or to qualify for certain benefits through government organizations. Before a person makes their decision, they will want to weigh both sides of the matter.
High-earning couples may be concerned about the way the so-called "marriage penalty" will affect the amount of money they have to pay in taxes. This is a higher tax liability that affects individuals who file their taxes together and have a taxable income in the 37% bracket. Other couples decide to divorce on paper in order to qualify for certain benefits that can save them a lot of money. For example, if one spouse is sick or needs nursing home care, the couple may not qualify for Medicaid together because of their income and assets. However, one spouse may qualify if the couple were to divorce and the sick individual had a low income.
While some could benefit financially from a divorce on paper, there are also ways that a couple could lose money. For example, it is common for everyone in the family to be under the same health insurance plan that comes from the employer of one of the working spouses. If the couple were to divorce on paper, one of the spouses may be subject to paying up to $12,000 a year in order to get a private insurance policy.
In addition to the financial ramifications that a couple could face, there are also social concerns that they must consider. It may be beneficial to speak with an family law attorney before making this decision. The attorney may be able to provide practical information regarding the steps that a couple would need to take if they decided to get a divorce.