Divorce has an impact on every aspect of your life, not the least of which is your children.
One thing that happens in Wayne County divorce cases is the division of property. In the process of property division during a divorce, it is essential to consider and equitably distribute all assets, even those intended for third parties. This includes educational funds set aside for children, vehicles, family heirlooms, and other personal items. These assets need to be clearly identified in the divorce decree, with specific provisions made to guarantee that the intended recipients, particularly the children, actually receive these assets or funds.
Of course one asset many parents have in common is an educational account for their children. Think of education trusts or savings accounts meant to cover costs of college.
What Happens in a Wayne County Divorce to Educational Funds You have Saved for the Children?
Generally, in a divorce, funds set aside for children are protected, irrespective of which parent contributed to them. The divorce decree will detail the specific account(s) involved and outline whether one or both parents will manage them. If only one parent is designated as the account custodian, it’s prudent to include a stipulation for them to provide yearly account statements to the other parent.
The decree will also impose conditions ensuring the funds are used exclusively for the children and the original purpose for which they were saved. This may include a clause prohibiting either parent from withdrawing funds, even for the child’s benefit, without the other parent’s agreement. Finally, the decree often includes a clause stating that either parent may continue contributing to the accounts, but neither is obligated to do so. This is irrespective of your child custody arrangement.
What About Other Property That I Would Like to Preserve for my Children?
The approach to handling a particular asset in a divorce can vary based on its nature. You might negotiate an agreement with the other parent, or a court may decide that the asset should be reserved for the children. There’s a wide range of assets that a parent might want to ensure are preserved and passed on to a child or children, such as inherited land, collectibles, sports memorabilia, antiques, and more.
This topic is too extensive to cover fully in this blog. If it’s evident that the property was acquired for the child or is being held with the intention of transferring it to the child upon reaching a certain age or milestone, you’re likely to secure an agreement from the other parent or a court order to reserve this property for the child’s benefit until a specified time, age, or event. In other instances, you may need to negotiate or trade off as part of the asset division in the case to ensure that a particular asset is held for a child’s benefit.