Giving up equity share

RuRu_1999 · 2023-05-11T22:40:27+00:00

If she remarries, your obligation to pay spousal support likely would end.

EnvironmentalAd3558 · 2023-05-11T21:59:51+00:00

Under the right circumstances it can make sense. It does cut you financial ties and makes easier to go completely NC.

But there are a lot of factors to consider. You have to weigh how much equity against the value of string of monthly alimony payments while considering the tax consequences and the likelihood that she will remarry and when.

tinkerb3lll · 2023-05-14T03:13:59+00:00

Yeah I did, gave her the house to make her go away, she took it like dangling a carrot in front of a horse. No regrets. No alimony, no child support, kept my retirement RRSP/401K instead. Bought a new house, got my equity back in 3 years, worth it.

david10277 · 2023-05-12T03:13:44+00:00

U need to crunch the numbers More importantly what's important to you

Cash out and give it all to her Keep the cash and pay her long term

I crunched the numbers and giving all my equity Made no sense. I can invest it and have my investments generate income to pay her.

upvotersfortruth · 2023-05-12T10:07:38+00:00

Yes, but not all of it usually. Buyouts of spousal support are common and if you hate writing that check like most of us do, a good thing. But it doesn't mean you should pay more than you would over time.

If she's entitled to get $1,000 per month for 20 years, that's not worth $240,000 today, it's worth more like 140,000 at 6% - time value of money is your friend. If she or her lawyer balk at this, time to hire a CDFA. Also, there's the emotional / other value of keeping the house.

soundbarrier47 · 2023-05-15T06:01:33+00:00

I knew divorce was a strong possibility in 2020, but the pandemic put those plans on hold. But to protect myself, I used the CARES ACT to withdraw $95k from my 401k and gave that check to my sister to hold in her savings account. Fast forward to Jan 2023, she files for divorce, we start discovery, her attorney ask for 2 years worth of financial statements in my name. So I provided everything from 2021 to present. Since it’s Texas, judge denied her request for alimony/spousal maintenance, and she was only “awarded” $22k from my 401k. In 2020, I also took a loan out against my 401k for $25k which that check also went to my sister to hold in her account for me. That only left $47k, and she got $22k from that, plus the taxes she had to pay 😂. And once the waters cool down a bit, probably will wait until the 1 year anniversary of the divorce being finalized before I get a 6 figure check from my sister.

Title	Giving up equity share
Author	DadVader77
Upvotes	2
Comments	12
Date	May 11, 2023 8:51 PM UTC (3 years ago)
Subreddit	Posted in /r/Divorce_Men
Original Link	https://old.reddit.com/r/Divorce_Men/comments/13ezlxa/giving_up_equity_share/
Archive Link	https://theredarchive.com/r/Divorce_Men/giving-up-equity-share.1219016 https://theredarchive.com/post/1219016

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