When parents in Colorado separate, the issue of child custody could create conflict. For example, a mother might seek sole physical custody and justify the request with the belief in traditional cultural norms. Some say that overnight care provided to toddlers by fathers could negatively influence the children's mental health. However, studies from psychologists analyzing the differences between sole custody and joint custody have firmly discredited this notion.
Colorado readers know that divorce is complicated. It is not easy to traverse this challenging and emotional process, and if you have kids, your focus may be on their well-being and a fair custody order. There are many important issues to think about, and you would be wise not to overlook your future financial interests.
According to a 2016 American Academy of Matrimonial Lawyers survey, retirement accounts were among the assets fought over the most in a divorce. For those in Colorado and elsewhere who are splitting a 401(k) in a divorce, it is important to do so correctly. Otherwise, a taxable event may occur, which could reduce the value of the account. Transferring funds from a 401(k) in a divorce is done through a qualified domestic relations order (QDRO).