Being an unmarried father in California doesn’t mean you have fewer rights when it comes to your child. However, it’s important to understand that there are legal steps you need to take to ensure your rights are protected.

If you're trying to establish paternity or seek custody, it's important to know where to start, as it can make all the difference.

At Holstrom, Block & Parke, APLC, our team has years of experience working with unmarried fathers to ensure they have a legally enforceable and acknowledged role in their children's lives.

Let’s walk through the key points that every unmarried father should know, starting with the foundation of it all—paternity.

Establishing Paternity: The First Step To Securing Your Rights

Before an unmarried father can claim any legal rights, he must establish paternity. Without legal recognition of paternity, you don’t have the right to seek custody, visitation, or make important decisions for your child.

There are a couple of ways to establish paternity in California:

Voluntary Declaration of Paternity

Voluntary declaration is a straightforward process where both parents agree to sign a form acknowledging the father’s paternity. It’s typically done at the hospital when the child is born, but it can also be done later. Once signed and filed with the state, this form legally establishes paternity without the need for court involvement.

Court Order for Paternity Testing

In some cases, the mother may refuse to acknowledge the father’s paternity, or there may be disputes about who the father is. In these instances, either parent can go to court and request a paternity test.

Usually, this is a genetic (DNA) test that determines the biological father of the child. Once paternity has been confirmed, the court can issue an order officially recognizing the father.

It’s important to know that just having your name on the birth certificate doesn’t automatically grant you legal paternity. You must sign the voluntary declaration or go through the court process to be legally recognized as the father.

If you don’t establish paternity, you won’t have any legal standing to seek custody, visitation, or make decisions for your child.

Custody Rights: Securing a Role in Your Child’s Life

After establishing paternity, unmarried fathers have the same rights as married fathers to seek custody or visitation. However, until paternity is legally recognized, the mother has sole custody of the child.

There are different types of custody arrangements in California:

Legal Custody

Legal custody gives a parent the authority to make decisions about important aspects of the child’s life, like education, healthcare, and general welfare. This arrangement can be shared between parents (joint legal custody) or awarded to one parent (sole legal custody).

Physical Custody

Physical custody determines where the child will live. Similar to legal custody, parents can share in this arrangement (joint physical custody) or it can be awarded primarily to one parent (sole physical custody), with the other parent having visitation rights.

When deciding on custody, California courts focus on what’s in the best interest of the child. The courts consider various factors, such as:

• The age and health of the child
• The ability of each parent to provide a stable and loving home
• The child’s relationship with each parent
• Any history of domestic violence, substance abuse, or neglect

Fathers have just as much of a right to seek custody as mothers..

Child Support: A Shared Responsibility

Both parents are financially responsible for supporting their child, whether they are married or not. Once paternity is established, the court can order child support to ensure that the child’s needs are met.

Child support is calculated based on several factors, including:

• The income of both parents
• The amount of time each parent spends with the child
• Any additional costs, such as healthcare or childcare expenses

Keep in mind that child support is a separate issue from custody or visitation. Even if a father isn’t awarded custody or is denied visitation, he is still obligated to pay child support. Conversely, if the father is the primary custodial parent, the mother may be required to pay child support.

Protecting Your Rights: Be Proactive

As an unmarried father, you need to take proactive steps to protect your rights. One of the most important steps is to get a formal court order for custody and visitation, even if you and the mother have an informal agreement.

Without a formal order, your rights aren’t legally protected, and you may face difficulties if the mother changes her mind or if you want to enforce your visitation rights.

Here are a few tips for unmarried fathers:

Stay involved: Be present and actively involved in your child’s life from the beginning. Courts are more likely to award custody or visitation to fathers who can show a consistent and meaningful relationship with their child.

Document your involvement: Keep a record of your involvement with your child. This can include things like photos, communication logs, and any evidence showing that you’re providing financial support. These records can be helpful if you need to go to court to establish or modify custody arrangements.

The Importance of Legal Guidance

Having the right legal support can make all the difference when it comes to protecting your rights as an unmarried father. A family law attorney can help you establish paternity, negotiate custody and visitation, and ensure that child support calculations are fair.

An attorney can also assist with related matters, such as:

• Modifying existing custody or support orders if circumstances change
• Addressing concerns about parental alienation or relocation
• Protecting your rights in cases involving adoption or step-parent adoption

Protecting Your Rights as an Unmarried Father in California

Navigating paternity, custody, and child support issues as an unmarried father can feel overwhelming, but you don’t have to do it alone. At Holstrom, Block & Parke, APLC, we’re committed to helping you secure your rights and build a strong, lasting relationship with your child.

Contact us today at (855)-426-9111 for a confidential consultation, and let us help you take the right steps to protect your role in your child’s life.

The final moments of a divorce can feel like they stretch on forever.

After all the emotional and legal hurdles you may have already endured—dividing assets, setting up custody arrangements, and more—you’re left waiting for one last step: the judge’s signature.

It’s that final stamp that makes your divorce official. But how long does this part actually take?

At Holstrom, Block & Parke, APLC, we understand how anxious this waiting period can be. After guiding numerous clients through the California divorce process, we’ve seen firsthand how timelines can vary.

Let's go over what factors affect the wait time and what you can do to speed things along.

The Standard Timeline

In California, there’s a mandatory waiting period of six months from the date of service of the divorce papers. This is the minimum amount of time that must pass before a divorce can be finalized.

However, this doesn’t mean that exactly six months after filing, a judge will sign the decree. It simply means that this is the soonest a judge can sign. Depending on several factors, the wait could be longer.

The six-month waiting period is designed to give couples a chance to reconcile. But, if both parties are certain about moving forward, it’s easy to get anxious and wonder why the process is so drawn out. That’s where other variables come into play.

Factors That Can Delay the Process

While six months is the legal minimum, there are other elements that can stretch out the wait for your divorce decree.

Contested vs. Uncontested Divorce

An uncontested divorce, where both spouses agree on all major issues—like property division and child custody—tends to move faster. In these cases, the judge can sign off relatively quickly after six months.

On the flip side, a contested divorce, where disputes arise over any of these topics, often takes much longer. Additional hearings, negotiations, and even mediation can push back the final decree.

Court Backlog

California’s court system handles a significant number of divorce cases. Depending on where you file, your local court may have a backlog of cases waiting to be reviewed. A high volume of cases can slow down the timeline for your judge to review and sign the paperwork.

Complexity of the Case

If your divorce involves high-value assets, detailed custody arrangements, or any other complexities, it’s likely that the judge will take extra time to review everything before finalizing the decree.

High-asset divorces, in particular, can take longer because the court needs to ensure that all property and financial matters are properly addressed.

Errors or Incomplete Paperwork

Mistakes on the paperwork are surprisingly common. Whether it’s missing signatures, incorrect forms, or other errors, even a small oversight can cause a delay. In these cases, the court will send the forms back for correction, which can push your timeline back by weeks or even months.

What You Can Do To Expedite the Process

If you’re eager to wrap up your divorce and move forward with your life, there are a few things you can do to keep things on pace.

Aim for an Uncontested Divorce

The more issues you and your spouse can agree on before the final decree, the quicker the process can move. Working together to settle things like property division, child custody, and spousal support can significantly cut down the time it takes for the judge to finalize everything.

Double-Check Your Paperwork

Before submitting your forms, make sure everything is accurate and complete. Double-check signatures, form numbers, and other small details. This simple step can prevent delays caused by the court requesting corrections.

Hire an Experienced Attorney

An experienced family law attorney can help anticipate potential delays and guide you through the paperwork and court procedures. They’ll ensure everything is submitted correctly and keep the process moving smoothly.

If you’re unsure about what steps to take or how to handle your case, having professional guidance can save you both time and stress.

Ready To Move Forward?

Waiting for your divorce to be finalized can feel like being stuck in limbo. With the right steps, you can minimize the delays and get that final decree signed as quickly as possible.

If you’re ready to move forward with your divorce, Holstrom, Block & Parke, APLC is here to help. Our team of family law attorneys has extensive experience handling divorce cases in California, and we’re ready to assist you with your case.

Contact us today at (855)-426-9111 for a consultation, and let’s work together to get you through this final step toward a fresh start.

Getting divorced is an emotional and often complicated process, and Californians aren’t exempt from this reality. Whether you're thinking about divorce or simply curious about how often it happens, understanding the statistics can help provide clarity.

What is the divorce rate in California, and what factors contribute to it? Let's dive into the latest numbers and break down what they mean for families across the state.

How Common Is Divorce in California?

While the state is known for its no-fault divorce laws and high profile celebrity divorces, the real numbers paint a different picture.

Recent statistics show that California’s divorce rate is about 8.9% to 9% of the population. If we look at the rate in terms of the number of divorces per 1,000 residents, that comes out to approximately 5.88 divorces per 1,000 residents.

This places California in line with many other states, and in fact, the divorce rate has been steadily declining for the past decade. Right now, California's divorce rate is among the lowest in the country.

A Closer Look at Divorce Trends

One thing that stands out about California's divorce rate is the gender disparity. The rate for women tends to be slightly higher than for men. For instance, around 10.5-10.7% of women in the state report being divorced, while the number is lower for men at 7.1-7.4%.

There are several potential explanations for this difference, ranging from women being more likely to initiate divorce to differences in how men and women view and report their marital status post-divorce.

Another interesting trend is the length of marriage before divorce. In California, the average marriage lasts about 8.9 years before couples file for divorce. This statistic highlights that many divorces happen once the "honeymoon phase" is long over, and couples have settled into the realities of married life.

Factors Contributing to Divorce in California

There are a variety of factors that can influence divorce rates in California. Some of the most common contributors include:

• Socioeconomic Status: Income levels and education play a role in divorce rates. Generally, couples with higher levels of education and income are less likely to divorce, but when financial stress does impact a marriage, it can become a significant factor leading to separation.
• Age at Marriage: People who marry later in life tend to have lower divorce rates. Those who marry in their late 20s and early 30s are often more established in their careers and have a clearer sense of personal identity, which may contribute to stronger, more stable marriages.
• Presence of Children: Having children can sometimes add strain to a marriage, especially if there are disagreements about parenting styles, finances, or time management. However, children can also serve as a reason for some couples to try harder to make things work, at least for a while.
• Cultural and Religious Beliefs: California is known for its diversity, and cultural factors can influence marriage and divorce rates. Different religious beliefs and cultural backgrounds sometimes play a role in whether couples choose to stay together or separate.

Additionally, the state's community property laws and the prevalence of no-fault divorces also play a part in the process. In a no-fault divorce, neither party has to prove wrongdoing by the other, which can make the process somewhat simpler—but it can also mean that some couples decide to part ways more easily than they might in other states.

Why Is Legal Help So Important?

Even though California’s divorce rate is declining, many people still face the difficult decision to end their marriages. If you’re in this situation, getting the right legal help can make all the difference.

Divorce in California can be complicated, especially when it comes to issues like property division, child custody, and spousal support. California’s community property law means that assets acquired during the marriage must be split equally, which can create tension and disagreements.

That’s where having an experienced family law attorney comes in. A good lawyer will help you understand your rights, ensure that your interests are protected, and help you reach a fair agreement that works for both parties.

Whether you’re going through an amicable split or facing a more contentious divorce, having legal guidance ensures that your divorce process goes as smoothly as possible.

Facing Divorce in California? We're Here to Help

Divorce is never easy, but you don’t have to go through it alone. If you’re facing divorce in California, Holstrom, Block & Parke, APLC is here to provide compassionate, experienced legal support tailored to your situation.

Contact us today at (855)-426-9111 for a confidential consultation, and take the first step towards protecting your future.

Being served divorce papers can be overwhelming, leaving you with more questions than answers. One of the first things that might come to mind is whether or not you have to sign them. So, do you?

Well, the simple answer is no, you don’t have to sign the divorce papers when you’re served. But, as you can imagine, there’s more to it than that. Not signing doesn’t mean you can just ignore them without consequences. Let’s break it down.

Why Signing Isn't Mandatory?

First things first—getting served with divorce papers isn’t about you agreeing or disagreeing with the divorce. In fact, signing the papers simply acknowledges that you’ve received them.  You're not saying, “Yeah, I’m on board with all of this.” You’re just confirming you’ve been made aware of the process.

The divorce will move forward with or without your signature. It’s a legal process, so there are steps that will continue, even if one spouse is an unwilling participant. However, not responding or signing can have some serious repercussions.

What Happens If You Don’t Respond?

If you choose not to respond to the divorce papers, you’re opening the door to something called a “default judgment.” Essentially, this means the court could grant your spouse everything they’ve requested in the divorce because you didn’t formally respond. In California, you generally have about 30 days to answer the petition.

Here’s the kicker: by not responding, you lose your chance to have a say in critical decisions like child custody, child support, spousal support, and even how property gets divided.

Even if your spouse is asking for things that seem unfair, you won’t be able to argue your case if you don’t submit a response. And while the court won’t just rubber-stamp every demand due to the fact that whatever your spouse asks for has to be reasonable and backed by facts—it’s still not a situation you want to leave to chance.

What Are Your Options?

Now that we’ve established that you don’t have to sign, you might be wondering what you should do when those papers land in your hands. You’ve got a few different options:

File an Answer: This is a formal response to the divorce petition where you either agree or disagree with the statements made by your spouse. If there are parts of the divorce that you don’t agree with—like who gets custody of the kids or how the property is divided—you can make that known in your answer.

File a Counterclaim: Sometimes, you might want to make your own claims regarding things like property or child custody. In California, you can file what’s called a "counterpetition" to let the court know what you want out of the divorce.

Negotiate a Settlement: Divorce doesn’t always have to be a battlefield. Many couples are able to come to an agreement on their own terms, especially when they have legal help. A negotiated settlement allows both spouses to have input into how things like support, custody, and property are handled.

Contest the Divorce: If you disagree with the divorce entirely, it’s possible—but not very common—to contest it. Contesting is a complex process and usually only happens in cases where there are disputes over significant issues.

Each option has its pros and cons, so what’s best for one person might not be the best for another. That’s why getting legal advice is always a good idea.

Why You Need Legal Counsel

Even if you think you’re okay with the divorce, you should talk to a lawyer. Divorce law is complicated, and every decision you make now can affect your future.

A lawyer can help you fully understand what’s being asked of you in the papers, assist in gathering important financial documents, and help you avoid making mistakes that could hurt your case.

Having legal representation can also be crucial in negotiating terms that work for you, whether it’s about custody of your children, spousal support, or dividing up property. And let’s be real—no one wants to accidentally give up something important just because they didn’t fully understand the process.

Take Action Today

So, to sum it up: no, you don’t have to sign those divorce papers, but not responding is a risky move that could cost you big time. The best way to protect yourself and your future is to take those papers seriously, weigh your options, and get legal guidance.

If you’re feeling unsure or overwhelmed, don’t hesitate to reach out to a family law attorney who can walk you through the next steps and make sure your interests are fully protected.

At Holstrom, Block & Parke, we have years of experience helping clients like you understand their options and make informed decisions during a divorce. Contact us today at (855)-426-9111 to schedule an appointment and start protecting your future.

In California, couples can legally formalize their relationship through marriage or domestic partnership.

Both options provide certain rights and protections, but the differences between them can affect important aspects of life, from finances to legal recognition. If you’re deciding between these two paths, understanding the key differences can help you make the right choice for your relationship.

At Holstrom, Block & Parke, APLC, we’ve spent years helping couples navigate family law matters. We know that this decision can be both exciting and overwhelming, so let's break down what you need to know.

Difference in Eligibility Requirements

Let’s start with the basics, which are the eligibility requirements for both.

Marriage in California

To get married in California, both individuals must meet a few basic requirements. First, you both need to be at least 18 years old, though minors can marry with a court order and parental consent.

Also, you can't already be married to someone else, and the relationship can't involve close familial ties (no marrying your sibling, for example). Once these requirements are met, marriage is an option for all couples, regardless of sexual orientation.

Domestic Partnership in California

Domestic partnerships used to be limited to same-sex couples and opposite-sex couples where one person was over the age of 62. However, that changed in 2020.

Now, any couple, regardless of sexual orientation or age, can choose to register as domestic partners. To qualify, both individuals must be at least 18 years old, share a common residence, and be unmarried.

Legal Rights and Responsibilities

Now that we've covered the surface-level differences, let's get into the legal aspects of the two.

Similarities Between Marriage and Domestic Partnership

Marriage and domestic partnerships both provide significant legal protections. For instance, both types of unions give couples community property rights in California, meaning that any income earned or property acquired during the relationship is generally shared equally.

Domestic partners and married couples also have the right to make medical decisions for each other, inherit property, and access family leave benefits in the case of illness or death.

Key Differences in Legal Rights

Here’s where the differences start to become more noticeable. Marriage offers a broader scope of legal rights, especially when it comes to federal benefits:

Federal Benefits: Marriage is recognized at both the state and federal levels, which gives married couples access to federal benefits like Social Security spousal benefits and the ability to sponsor a spouse for immigration.

Domestic partnerships, however, are only recognized by the state. This means that domestic partners don’t have access to these federal perks, which can be a significant consideration.

Tax Implications: Married couples can file joint federal tax returns and potentially benefit from lower tax rates, while domestic partners cannot file jointly at the federal level. This difference can have a big impact, depending on your financial situation.

Inheritance and Property Rights: Married couples benefit from automatic inheritance rights and can transfer unlimited assets between each other without tax penalties. Domestic partners don’t have this luxury unless they create additional legal documents like a will or trust.

For couples who don’t rely heavily on federal benefits, a domestic partnership might meet their needs. But if you’re thinking long-term about tax planning, retirement, or immigration, marriage offers more comprehensive protection.

Property Division upon Termination

Let's take a brief look at the differences after the termination of a marriage versus a domestic partnership.

Marriage and Divorce

If a married couple decides to divorce, California’s community property laws dictate that all marital property be divided equally between both parties. This includes anything acquired during the marriage, like houses, cars, and savings accounts.

Domestic Partnership and Dissolution

Ending a domestic partnership can be a bit different. There are no automatic rules for dividing property, though courts will generally look at similar factors to those in a divorce.

That being said, without clear guidelines, there’s more room for disputes, which is why many legal professionals recommend having a written agreement (like a prenuptial or domestic partnership agreement) in place before entering into either marriage or domestic partnership.

Process and Portability

What is the legal process for both? While similar, there are some key differences you should know about.

Marriage

The process of getting married in California is fairly simple: you apply for a marriage license, have a ceremony, and file the paperwork. Your marriage will be recognized not just in California, but across the U.S. and federally.

Domestic Partnership

Registering a domestic partnership is an even simpler process. You file a form with the California Secretary of State, and once processed, you’re legally recognized as domestic partners.

However, the main difference here is portability. While marriages are recognized across state lines, that's not necessarily the case with domestic partnerships. If you move out of California, your domestic partnership might not be legally recognized in other states, so be mindful of that.

Let Our Family Law Specialists Advise You

Choosing between domestic partnership and marriage is a big decision that comes with lasting implications. At Holstrom, Block & Parke, APLC, we’re here to provide the guidance you need.

Our team can help you weigh your options and move forward with confidence.

Reach out to us today at (855)-426-9111 for a confidential consultation. We’ll make sure your relationship is built on a strong legal foundation.

Parental alienation can be a heartbreaking experience. When one parent tries to manipulate or turn a child against the other parent, it feels like a betrayal that runs deep.

If you suspect that this is happening to your child, you might be wondering if you can involve Child Protective Services (CPS) to help fix the situation. We'll break down the criteria for involving CPS, whether that's the best course of action, and what alternatives might be more effective.

What Exactly Does CPS Do?

CPS' primary role is to ensure the safety and well-being of children. They step in when a child is at risk of immediate harm, such as cases of physical abuse, neglect, or sexual abuse. These are the kinds of situations where CPS typically investigates and takes action.

Though parental alienation is emotionally damaging, it doesn’t always fall under CPS' usual criteria unless it directly leads to neglect or abuse. The complexity of alienation often involves subtle psychological manipulation, which may not be obvious to outside agencies like CPS.

The Limitations of CPS in Parental Alienation Cases

Unfortunately, CPS may not be the best resource for addressing parental alienation.

Here’s why:

Lack of Expertise in Psychological Issues

CPS workers are trained to handle physical dangers and neglect. They may not have the time or resources to thoroughly investigate the complex psychological elements involved in alienation.

Difficulty Proving Alienation

Parental alienation is tricky to prove. It often involves behaviors like bad-mouthing the other parent or restricting communication, which are hard to document and don't necessarily seem harmful at first glance.

Overwhelmed System

CPS is often overburdened with high caseloads, making it hard for them to prioritize cases that don’t involve clear and immediate harm.

If you call CPS without solid evidence of abuse or neglect, it’s possible that your concerns will not be taken as seriously as you'd like.

Could Calling CPS Backfire?

Yes, calling CPS can sometimes make things worse. Involving an external agency like CPS can create more conflict between you and the other parent, which can harm your child further. It could also lead to an environment where the child feels stuck in the middle, worsening the emotional impact of the alienation.

You also risk the CPS accusing you of making unfounded accusations if the agency determines that there isn’t enough evidence to take action. This can be problematic if your case later goes to family court, as it might make you appear less credible in the eyes of the judge.

So, What Should You Do?

If you're dealing with parental alienation, there are more effective steps you can take before involving CPS.

Document Everything

Keep a detailed record of every instance of alienating behavior. Write down specific dates and examples of actions or statements that show manipulation. The more evidence you have, the better chance you’ll have of convincing the court that alienation is occurring.

Get a Child Psychologist Involved

A professional evaluation from a child psychologist can help assess the emotional damage being caused by the alienation. A psychologist can provide valuable testimony in court, and their involvement may also help your child deal with the emotional fallout.

 Consult with a Family Law Attorney

Your next step should be reaching out to a family law attorney who has experience with parental alienation cases. They can guide you through your options and help develop a plan to protect your relationship with your child.

Legal Remedies for Parental Alienation

If the alienation continues despite your best efforts, you can take legal action.. Here are some options your attorney might suggest:

• Modify Custody Arrangements: If you can prove that the alienation is harmful to your child, the court might decide to change the custody or visitation schedule to limit the other parent's influence.
• Request Reunification Therapy: This court-ordered counseling can help repair the relationship between the alienated parent and the child.
• Seek a Custody Evaluator: A neutral third party can assess the family dynamics and report their findings to the court, which can help support your case.

In severe cases, the court might even impose consequences on the alienating parent, such as supervised visitation or a change in custody.

Suspect Parental Alienation? Let Us Help.

Dealing with parental alienation is emotionally exhausting, but you don’t have to go through it alone. At Holstrom, Block & Parke, APLC, we understand how crucial the bond with your child is, and we’re here to offer support and guidance.

Contact us today at (855)-426-9111 for a confidential consultation. It's the first step toward safeguarding your relationship with your child.

Even in the best of circumstances, divorce creates financial challenges because you are splitting one household into two and doubling expenses. In addition to dividing assets including your retirement savings, you may also be obligated to pay substantial amounts for child support. Do you then have to pay alimony on top of all that?

The answer depends on the circumstances. Working with an experienced attorney is the best way to protect your financial interests during and after the divorce.

Do You Have a Prenuptial or Postnuptial Agreement?

You cannot specify terms in advance regarding obligations for child support, but you can make arrangements regarding the potential for alimony. If you and your spouse executed a valid prenuptial or postnuptial agreement, then the terms of that agreement override the provisions of California law regarding alimony. So the first issue to consider regarding alimony is whether you have an agreement that specifies whether a spouse will pay and if so how much and for how long.

Child Custody and Support are Usually Determined First

Even if one spouse requests alimony right away, courts recognize that spousal and child support are interconnected because they both impact needs and ability to pay. Generally, courts will determine custody first because the amount of time the child spends with each parent affects support amounts. When a child spends equal time with both parents, the parent with greater income may still be required to pay support but it will not be as much as if that parent only had the child with them every other weekend. At the same time, if one parent is spending much more time raising the child, that can make it difficult to earn as much. So custody impacts child support and can impact alimony as well.

Once custody is established, then child support will be calculated based on a formula that takes each spouse’s income into account, as well as a variety of other factors. Then decisions about alimony are based on the consideration of the paying spouse’s income after child support amounts are taken out.

Alimony is Not an Automatic Obligation Like Child Support

Both parents are obligated by California law to support their children financially, so child support is an automatic obligation. Support for a former spouse, on the other hand, is not automatic. If a spouse wants to receive alimony, they must ask for it and show the court why it is justified (unless parties reach their own agreement out of court.) This includes showing why they need support and how the other spouse has the ability to pay support. Generally, the longer a marriage lasted, the more likely it is that one spouse focused on home and family while the other spouse focused on career, which leaves one spouse much better prepared to be self-supporting. In that case, alimony is more likely to be awarded to give the lower-earning spouse time to develop career skills and build earning potential.

If both spouses have relatively equal earning potential and are spending the same amount of time caring for their children, then the court may be less likely to award spousal support. It is important to ensure that your attorney presents persuasive evidence to support your position regarding alimony. If paying alimony would make it difficult for you to provide a home for your children, be sure your attorney understands why and that they are prepared to demonstrate this to the court.

Factors That Impact Alimony in California

Courts consider many factors when determining whether one spouse should pay alimony, and how much and for what length of time. The recipient spouse’s need for support and the paying spouse’s ability to provide support are two of the most important factors. This involves considering each spouse’s earning capacity and special needs, such as medical issues or the fact that their ability to work is limited by the need to care for their children. Other factors include the age and health of each spouse, the length of the marriage, the lifestyle enjoyed during the marriage, the amount of debt and assets held by each spouse, any history of abuse during the marriage, and how the time spent caring for children impacted the career of either spouse.

Work with an Attorney Who Knows How to Protect Your Financial Interests in a California Divorce

The question of whether you will need to pay alimony in addition to child support depends on your circumstances as presented to the court or the arrangements you negotiate out of court. Having experienced legal guidance can make all the difference in the outcome. At Holstrom, Block & Parke, APLC, we put 300+ years of collective experience to work for you to help you achieve the most beneficial outcome in your divorce, including advantageous arrangements regarding spousal support. Contact us today for a confidential consultation to find out how we can protect your interests. 

Just when it seems like the financial side of divorce could not get more complicated, new tax rules come out to change the game. In this case, recent changes to the laws regarding California 529 college savings plans offer a new way for one spouse to hide assets from the other spouse in divorce.

If you are not working with an attorney dedicated to keeping up with the latest techniques for uncovering hidden assets in divorce, you could miss out on your fair share of marital assets.

How 529 Plans Work in California

A 529 plan is a type of account you can open to save money for certain education expenses. These plans provide tax benefits. While they are based on federal laws, each state sets slightly different rules for administering these savings plans.

Parents, grandparents and other relatives often set up 529 savings plans to pay for college or other future education expenses for their loved ones. The reason that these plans can be used to hide assets in divorce is that the child is not the owner of the plan. While the child or grandchild is the intended beneficiary of the funds in the account, the child never gains an ownership interest while the funds are in the account. Instead, whoever set up the plan is considered the owner of the plan. 

That person controls contributions made into the plan and they decide how the funds are invested. The person who sets up the plan also controls when and how funds are distributed to the student. In fact, the child who is supposed to be the focus of the account would have no idea how much money is in the account and would not even know the account exists unless the account owner makes that information known.

Money in s 529 Plan Should Be Treated as Community Property

Even if only one parent establishes and makes contributions to their child’s 529 savings plan, the funds in the plan are jointly-owned community property belonging equally to both spouses (unless the account was funded entirely with assets legally held as separate property, which is rare.) Since the money in a 529 account is set aside for a child or grandchild’s education, however, many parents and grandparents view that money as belonging to the student rather than the person who set up the account. When they list their assets in preparation for divorce, they often leave out funds in a student’s 529 plan. While a detail-oriented attorney might ask about college savings plans, in many cases, assets in these plans are overlooked during the process of allocating marital assets. This can cause a spouse to lose out on the full share of community property they should receive in the divorce.

Federal Law Allow Unused Funds in a 529 Plan to Rolled Over into an IRA

One spouse can hide assets in a 529 Plan and later, quietly move those assets into their own personal retirement account. This is because a recent change in federal law allows funds that have not been used for educational expenses to be moved into an IRA, just as long as the 529 account has been open for at least 15 years.

This creates the potential for a spouse to stash money in a child or grandchild’s 529 account, “forget” to mention that money during the divorce proceedings, and then years later keep the money as their own. They don’t even need to pay tax on the earnings.

Sometimes, attorneys forget to ask about college savings accounts. Other times, the accounts are acknowledged in divorce, but no one addresses the issue of what will happen with any excess remaining in the account after qualified educational expenses have been paid. Either way, a spouse can lose out on their fair share of marital property.

Details Matter in a California Divorce, So Work with a Legal Team That is Fully Prepared to Protect Your Interests

With over 300 years of combined experience handling divorce and other family law challenges, the team at Holstrom, Block & Parke, APLC has seen our share of attempts to hide assets. We are always mindful of opportunities where a spouse can miss out because assets are overlooked or undervalued.

You can trust our Certified Family Law Specialists and associates to work effectively to ensure that you receive the right share of community property as well as property that is rightfully your separate property. For a confidential consultation to learn more about locating hidden assets and other challenging aspects of divorce in California, contact our team today. 

When considering assets acquired during the course of marriage, people tend to think of wages they’ve earned, retirement assets accrued, and items purchased over the years. They almost never consider a loss as a potential item of value that should be allocated in divorce. It is the job of a thorough and detail-oriented divorce attorney to consider this possibility and ensure that each spouse receives their fair share.

A loss carryforward can lead to big tax savings, so it is a valuable asset. Let’s take a look at why you need to consider loss carryforwards as part of your divorce settlement.

What is a Loss Carryforward?

When you make money on an investment and then sell that investment, you pay tax on the amount you have gained. You might pay capital gains tax or it could be taxed as income, depending on the investment.

When you lose money on an investment or in your business, you have the opportunity to deduct the loss from your taxable income or gains so that you owe less in state and federal taxes. So in that way, a loss incurred at one time has value for you in the future. Our tax laws allow you to use that loss to offset income in the same year, or to carry it over and use it in future years. When you carry over a loss from one year to the future, that is a loss carryforward. The tax savings make it valuable. Yet this is an “asset” that is often overlooked in divorce. It should be allocated among spouses just like other community property in a California divorce. The same holds true for net operating losses from a business.

Allocating Loss in California Divorce

While we tend to equate loss with debt, they are the complete opposite when you consider tax implications. A loss can be used to decrease the amount of income you pay tax on, and therefore, it saves you money and that makes the loss valuable.

When the loss is associated with property treated as community property under California law, then generally the loss carryforward would be allocated equally between spouses. In some cases, if spouses filed separate tax returns, if the property was acquired before marriage, or if the issues were addressed in a pre- or postnuptial agreement, then one spouse might be entitled to all or a greater share of the loss.

Losses to consider include:

• Capital losses
• S Corporation losses
• Investment interest expense carryforwards
• Net operating losses

In addition, if there are carryfowards of charitable contributions, those need to be accounted for and allocated as well.

Issues to Consider Regardng Loss Carryforwards in Divorce

Losses can be carried forward on an indefinite basis under current tax laws, and depending on the amount of losses and future income to be offset, these losses can amount to thousands of dollars in tax savings over the course of several years.

However, to understand the value of loss carryforwards and how to fairly allocate the value in a divorce settlement it is vitally important to work with a knowledgeable accountant as well as a financially savvy attorney. Tax issues become very complicated after a divorce when couples can no longer file joint returns, and there are restrictions on the use of loss carryforwards that are important to be aware of when planning for and using these losses.

Consider How the Details Fit into the Big Picture

Losses from investments and businesses, excess charitable contributions, and other tax carryforwards are just a small part of the financial picture that needs to be addressed in a California divorce. All property with potential value, as well as all liabilities, need to be considered. You need to determine which assets and debts are separate and which are marital, and ensure that the marital factors are divided appropriately.

To emerge from the divorce process in the best position to move forward, your attorney needs to be mindful of all the details, but also how to fit those details into the big picture. It takes considerable knowledge and discipline to maintain this focus, but it is necessary to ensure that a spouse receives a fair settlement in divorce.

Holstrom, Block & Parke, APLC Knows How to Protect Your Interests in Divorce

Whether the issue involves loss carryforwards or other items of potential value, you can trust the Certified Family Law Specialists and associates at Holstrom, Block & Parke, APLC to ensure that you receive your rightful share in a California divorce. We pay attention to the details while keeping mindful of the overall scheme so that you will be positioned for move forward after your divorce. Schedule a confidential consultation with our team today to learn more about the ways we protect your interests. 

The financial worries of people heading into divorce in California cause untold amounts of stress. Uncertainty plays a large role in upping the stress level because no one is quite sure what to expect. While couples are worried about alimony and child support, it is the division of property that causes the most concern. People hear that California is a community property state, and they begin to make many assumptions about how property will be divided here compared with in the way it would be allocated in other jurisdictions.

So what is the difference? And what can you do to protect your interests? Your attorney can provide the most complete answers to these questions, but here is some basic information to consider.

Community Property vs. Equitable Distribution

In theory, the property division plans created in a community property state can be extremely different from those created in an equitable distribution state. In practice, however, there is often not as much difference as you’d imagine.

Community property principles hold that most assets acquired during the marriage are the joint and equal property of both spouses and that they will be divided evenly in divorce. If one spouse earned wages and accrued retirement benefits during 15 years of marriage, half of those wages and retirement benefits belong to the other spouse. If one spouse bought a boat for the other for their 10-year anniversary and put that spouse’s name on the title, that boat is still the joint property of both spouses, and both are entitled to half the value in divorce. 

Property that a spouse owned before marriage or that a spouse received as an inheritance during the marriage is generally that spouse’s separate property and does not get divided in divorce. There are exceptions which we will explore in a moment.

When property is divided according to principles of equitable distribution, instead of a 50/50 division, courts can divide marital property however a judge finds to be “equitable” or fair. This could lead to a situation where one spouse ends up with almost all marital property while the other walks away with only the property they had when the marriage started.

How the Rules are Applied

In an equitable distribution state, even though equitable doesn’t mean equal, courts often start with the proposition that both spouses are entitled to an equal share of marital property. Then they may adjust the allocation to account for factors such as whether one spouse has greater earning potential or committed acts of domestic violence. Many times, the allocation comes out close to 50/50 just as in a community property state.

Some community property states actually follow the principles of equitable distribution. They start with the assumption of a 50/50 split but then make adjustments for “fairness.” California is a strict community property jurisdiction, but even in our state, if a spouse is found to have wastefully dissipated assets or committed domestic violence, that can change the allocation of property so that it is not strictly even. In many cases, the distribution of marital property in divorce is not tremendously different in a community property state than in an equitable distribution state if divorce attorneys make all the right arguments.

Property Classification is Key

In either a community property state or equitable distribution state, the way property is classified often has a much bigger impact on the financial outcome of divorce than how property is divided once it has been classified. Assets that are considered your separate property do not need to be divided under either principle. So that makes it important to work with an attorney who is prepared to help you ensure that your property is classified properly.

Assets that you owned before you got married or that you received via inheritance or gift (from someone other than your spouse) should be treated as your separate property. But if these assets got mingled with marital property or your spouse contributed to the value in some way, then those assets can turn to community property, at least in part. The best way to protect your separate property is to plan ahead and execute a premarital agreement specifying that your property will remain yours. If it’s too late and you’re already contemplating divorce, you can research to trace the history of your property, showing when it was acquired and any steps taken to keep it separate from marital assets. Your attorney can assist with the process and may recommend working with a forensic accountant to help trace the value of your separate property.

Holstrom, Block & Parke, APLC works to Ensure that You Receive the Right Allocation of Property in a California Divorce

When it comes to dividing property in divorce, it is important to pay attention to the details to ensure that all property is accounted for and that it is classified appropriately. You need an attorney willing to take the time to dig deep to get the full picture.

At Holstrom, Block & Parke, APLC, our team has 300+ years of collective experience helping clients achieve the right allocation of community property and protecting their separate property. We invite you to schedule a confidential consultation to discuss how we can work to ensure the most advantageous financial settlement in your divorce.