Early Days Financial Question

[NellyAmelia]

I’m on the brink of splitting up with my husband of 22 years due to various lies about drugs and drink over our entire married life. I know I can’t trust him again and at 56 it’s all pretty scary. I’m trying to be practical financially. I owned my house with 55k equity in 2002 when he moved in, 5 years later we bought our current home using the equity plus a mortgage, I legally retained and ring fenced 55k in 2003. I haven’t taken any legal advice but I’m assuming that 55k will still be ring fenced and will have gone up with inflation. My husband also has a sizable inheritance coming his way , which I do not. His pension is bigger because I worked part time with the children and he is 6 years younger than me get so has greater earning potential in the future. We have one child at home aged 21. I’m hoping all this will mean I will get more of our house so I can buy something with my son, my husband will be fine his parents are quite comfortably off but I don’t have they security. Has anyone been in a similar situation , I think so some formal legal advice would be a good idea but it’s so expensive. Any advice about these first steps would be great please.

The inheritance is neither here nor there…it’s not a given. So that will be discounted.

pension and house will be 50:50 aside from what you have ring fenced

you will be expected to work full time I imagine.

you will need to see a solicitor

Thank you for replying so quickly. I only went part time 6 months ago so that won’t be an issue. Do you know if the 55k ring fenced in 2003 will be linked with inflation as it was invested in a property please. Our pensions are quite similar atm, his more due to the 10 years part time.

I would use some of that 55K to get proper legal advice, you will need to know value of pensions, house equity, mortgage, investments and savings.

Thank you

It sounds like the ring fence was the amount rather then a percentage of the property? If so it will just be the fixed amount i think.

Your ds is an adult so won't be considered.

DH inheritance doesn't exist yet so will won't be considered.

The starting point will be 50/50 of everything else, pensions, property, savings and other assets.

Did you take a career break/sacrifice to raise your child?

If ex currently has a higher income/earning capacity then you are full time, you may be able to argue for slightly more then 50/50. 55/45 or possibly 40/60 but that depends on the amounts, probably unlikely.

You won't be owed a 2 bed property for example as ds is an adult. An exception is if he dependent for some reason.

Thank you. Yes it’s an amount that’s ring fenced but surely that goes up with inflation as 55k in 2003 was worth much more than it is now. I guess that’s for a solicitor to answer. I went part time for 10 years while raising the kids so yes. We both have the same earning capacity too.

You need to look at the paperwork for the £55K. All that matters is what is on there. Did you ring fence £55K + inflation, or did you ring fence £55K?

A solicitor told me that the starting point is 50/50 and then it goes from there depending on housing needs etc. At 21, your DC is an adult so won't be considered a dependent.

You should be entitled to half his pension, and he may want to give you more out of the house in order to keep his pension - that is where the negotiations come in.

Thank you

You need to take advice on how the “ring fencing” in 2003 is relevant to the divorce. It sounds like a long relationship with children and at some point you married. There is a possibility that the marriage and children override the intention to ring fence a deposit in 2003 when you may not have been married. It depends on what you did, when you did it and how you did it.

A future inheritance has no bearing. How well off his parents are has no bearing.

Two working adults with no dependents, together for 23 years with children - expect 50:50.

Thank you

It’s unlikely the ring fencing won’t hold any water now 20 years later.

you should seek legal advice

what will be relevant is the marital assets available for division, inc pensions, the full time earning potential of both parties and both parties needs

I paid for a one hour bespoke session with a family law firm to chat through all the options re financials. This may benefit you, OP?

Ringfencing an amount 23 years ago could easily be ignored/over-ridden given the long marriage and shared residence. Don't rely on that being water-tight. Will also depend on what other assets will be available.

However, you'll be encouraged to try to sort out your own arrangements to some extent, so the outcome may depend on what each of you want to achieve.