divorce settlement with high earning spouse- what is woman entitled to?

[catinhell]

THE SCENARIO:

both agree to the divorce.

there are 4 children.

married for 13 years.

wife hasnt worked for 10 years.

husband's business has become incredibly successful (am guessing earning £150k a year) but only in last 2 years. previously a modest earner.

no assets to liquidate as family home and buy to let property are heavily mortgaged.

THE QUESTION:

is there a formula that one can use to calculate what the man has to give in terms of a percentage of his salary/ future earnings/ maintenance for dc and maintenance for wife ?

tia

.

You don't have any equity at all? Pensions, equity in family home?

I believe the start point for a long marriage like yours is 50:50 split of equity plus about 25% of his net income as maintenance for the kids assuming they spend nearly all their time living with you. Spousal maintenance is by negotiation, there isn't a specific calculation. The 50:50 split is also variable by negotiation if it effectively leaves the children homeless as not enough for either parent to buy a home for them.

So basically as far as I understand it you are going to have to sort it out for yourselves. Good idea to gather all the financial facts and see a mediator. Your potential ability to earn in the future will be taken into account - xdh will not be a meal ticket for you.

I think there is a website called wikivorce which may have a calculator of some sort.

thanks oldenough.

almost no equity. not sure about pensions, but i'd be surprised, tbh, as theyre not 'save for a rainy day' types.

actually i'm not the DW . this is on behalf of a family member.

she thinks she's entitled to 25 percent of net income AFTER he's paid all their housing/ living costs. and she wants a £600 a month personal allowance for being the primary carer...

didnt sound realistic to me...

ok, just googled spousal maintenance and maybe the £600 a month would be the norm.

i still think that the housing costs would need to be covered within that payment of 25 % of net income, not in addition to it ???

Does the business have any capital value or is the value in the income it produces?

Under CSA rules child support is calculated as a percentage of the non resident parent's income which is capped. It is possible for top up payments to be made on income in excess of the capped amount and for paying school fees or meeting expenses related to a child's disability.

There is no formula for calculating spouse maintenance. Regard must be given to the checklist of factors set out in s25 Matrimonial Causes Act 1973. Briefly, the living expenses of the spouse on a lower income is deducted from their income to establish the shortfall. Then the living expenses of the higher income spouse are deducted from their income to determine their disposable income and ability to pay maintenance. The net effect is tested to ensure there is a balance. Lawyers and courts refer to tables, but because each case depends on the particular circumstances no calculator is that reliable.

A lawyer in possession of all the relevant details should be in the best position to advise your friend where they stand and what options there are.

Spot on again STIDW. No point looking at percentages unless it's merely a starting off point, but seldom is the end point the same. Try mediation by all means, but without legal advice you're flying blind.

There's lots to consider, and a message board isn't the place for anyone to be getting advice in a situation like this.

thanks to all. i totally agree that this isnt the place to get proper advice- although youve been v helpful. but the thing is, its not about me, its about someone close to me who i think may have misunderstood the advice she's been given. i wanted to do a bit of digging before suggesting to her that maybe she needs to do some further research.

Who has given your friend this advice?