Hatfield Harris, PLLCHatfield Harris, PLLC2024-03-18T14:55:01Zhttps://www.hatfieldharris.com/feed/atom/WordPress/wp-content/uploads/sites/1303181/2020/03/cropped-HH_SITEICON_512x512_MAR20-32x32.jpgOn Behalf of Hatfield Harris, PLLChttps://www.hatfieldharris.com/?p=690212024-01-26T03:45:44Z2024-01-26T03:45:44ZConsidering your children's well-being
Staying in the family home after divorce can offer children a sense of stability. Familiar surroundings provide comfort during a challenging time, helping them adjust to the changes. The continuity of their living space, school and neighborhood can mitigate the emotional impact of divorce, offering a stable foundation for their well-being and development.
Determining financial standing
Take stock of your joint financial assets and liabilities. Compile a comprehensive list, including income, debts and expenses. Analyzing these figures will give you a clearer picture of your financial standing as you approach divorce proceedings.
Evaluating home equity
For many couples, the marital home is a significant asset. Calculating its current market value and subtracting outstanding mortgage debt provides the equity. The equity in your home influences the division of assets during divorce.
Consideration of Arkansas laws
Arkansas operates under equitable distribution laws, meaning that the marital property division is fair but not necessarily equal. The court takes various factors into account, such as each spouse's financial contributions, earning capacity and child custody arrangements.
Budgeting for post-divorce homeownership
Once the divorce is final, maintaining the marital home comes with ongoing financial responsibilities. Budgeting becomes imperative—consider mortgage payments, property taxes, insurance and maintenance costs. Ensuring you can afford these expenses post-divorce provides a smoother transition.
Exploring options
If the financial burden of keeping the marital home proves challenging, exploring alternative solutions is wise. Selling the property and dividing the proceeds may be a viable option, providing both parties with a fresh start. You may find another residence in the same neighborhood and school zone to help reduce the impact of moving for your children.]]>On Behalf of Hatfield Harris, PLLChttps://www.hatfieldharris.com/?p=690202024-01-12T15:54:22Z2024-01-12T15:54:22ZUnderstanding why audits occur
The IRS conducts audits to verify the accuracy of a taxpayer's returns and ensure compliance with tax laws. Audits do not always imply wrongdoing. They can result from random selection or because something in your return may have raised a red flag.
IRS audits are relatively commonplace. The IRS conducted over 700,000 tax return audits during the financial year of 2022. Triggers may include unreported income, excessive deductions or discrepancies between your return and information the IRS received from other sources, such as employers or banks.
Responding to an audit
Upon receiving an audit notification, it is important to read and review it carefully. This letter outlines the reasons behind the IRS's selection of your return. It also tells you which documents you need to provide. Responding in a timely manner is essential. If you delay or ignore the request, it can lead to additional penalties or a more in-depth investigation.
To substrate the items in question, gather all relevant documentation, such as receipts, bills, employment documents and bank statements. Organizing these documents will help you present your case effectively and efficiently to the IRS.
Navigating the audit process
You have the right to understand the purpose of the audit and to know what the IRS finds during the process. Do not hesitate to ask for clarification if you have questions or concerns. Cooperation and transparency are key. The audit might take place through mail, at an IRS office or at a location of your choice, such as your home or office. The complexity of your case often determines the type of audit you undergo.
Remember, an audit is not an accusation of wrongdoing but a process to ensure tax compliance. Learning about this process can provide valuable guidance if you are facing an audit.]]>On Behalf of Hatfield Harris, PLLChttps://www.hatfieldharris.com/?p=690152023-12-29T01:40:20Z2023-12-29T01:40:20Z1. Puts children first
One of the primary advantages of divorce mediation is its child-centric focus. Unlike traditional divorce proceedings, where legal battles can become emotionally charged, mediation places the children's well-being at the forefront. The process encourages parents to collaborate in crafting solutions that prioritize the needs and emotions of their children, fostering a sense of stability during a period of significant change.
2. Encourages open communication
Divorce mediation promotes open communication between parents, allowing them to discuss and decide on key issues related to the children's lives. From custody arrangements to visitation schedules, parents actively engage in constructive dialogue under the guidance of a neutral mediator. This approach often results in agreements tailored to the unique needs of the family, creating a more flexible and adaptive framework for co-parenting.
3. Promotes emotional resilience for children
Children may experience more stress and anxiety when their parents divorce. Mediation is collaborative. It helps shield children from the adversarial dynamics often present in court battles. When parents work together to find common ground, children are more likely to see a united front.
4. Offers cost-effectiveness and timely resolutions
Arkansas has 4.1 divorces per 1,000 people. Divorce mediation is often more cost-effective and efficient than a court-based divorce.
The streamlined process typically requires fewer resources, saving both time and money. This financial relief can contribute to a more stable post-divorce environment. That directly benefits the children involved.
In Arkansas, the shift toward divorce mediation reflects a growing recognition of its potential to alleviate the stress children experience.]]>On Behalf of Hatfield Harris, PLLChttps://www.hatfieldharris.com/?p=690142023-12-06T16:56:06Z2023-12-06T16:56:06ZThe basics of bankruptcy in Arkansas
Bankruptcy is a legal process designed to help individuals or businesses overwhelmed by debt find relief. In Arkansas, like in other states, bankruptcy laws provide a framework for managing financial crises.
Chapter 7 bankruptcy. This involves liquidating certain assets to pay off debts. Certain essential items are typically exempt, ensuring individuals can maintain a basic standard of living.
Chapter 13 bankruptcy. This option allows individuals to reorganize their debts. This involves creating a repayment plan that usually spans three to five years, allowing the individual to catch up on missed payments and regain financial stability.
Not everyone qualifies for bankruptcy in Arkansas. Factors such as income, expenses and the type of debt determine eligibility.
In 2022, 5,454 people filed for either Chapter 7 or Chapter 13 bankruptcy in Arkansas. This figure is above the national average.
Bankruptcy pros and cons
When someone files for bankruptcy, it triggers an automatic stay. This prevents creditors from pursuing collection activities. Debtors gain breathing space to assess their financial situation without constant pressure from creditors.
While bankruptcy offers a fresh start, it does impact an individual's credit score. However, the adverse effects are not permanent. With responsible financial behavior, individuals can rebuild their credit over time.
Bankruptcy and assets
Many people wonder about the fate of their assets during bankruptcy. The type of bankruptcy you pursue can determine whether you can keep some or all your possessions. Individuals filing for bankruptcy can usually keep some exempt assets.
Bankruptcy offers a fresh start
The financial struggles leading to bankruptcy may evoke feelings of failure and shame. Individuals may question their ability to manage finances and fulfill responsibilities.
However, bankruptcy is a legal and financial tool designed to provide a fresh start. Seeking support, understanding the process and focusing on rebuilding can help restore confidence and self-respect over time.]]>On Behalf of Hatfield Harris, PLLChttps://www.hatfieldharris.com/?p=690052023-09-03T04:59:33Z2023-09-03T04:59:33ZReview Beneficiaries and Heirs
In your current plan, your spouse is likely a beneficiary and heir. You should go through all your accounts and situations mentioning your spouse and update them. Failing to do so could mean that if you pass away, your spouse would still be entitled to anything outlined in the plan.
Adjust Assets
Following your divorce, you probably own fewer assets. It is a wise move to review your estate plan and remove any items that you lost during the divorce. You might also need to alter details in other accounts. For instance, if the court instructed you to split half of your retirement savings with your ex-spouse, ensure your estate plan accurately reflects that.
Revoke Authority
If your estate plan includes a living will or power of attorney naming your spouse as someone who can make decisions on your behalf, it is essential to update those documents. There is a special circumstance where this might not apply – if you and your ex-spouse still have a good relationship. However, it is generally not advisable to have your former spouse making decisions for you.
When you are making changes to your estate plan, it is important to follow the proper procedures. Ensuring that any alterations you make would stand up legally in case of a challenge in court is of utmost importance.]]>On Behalf of Hatfield Harris, PLLChttps://www.hatfieldharris.com/?p=689882023-06-30T01:06:00Z2023-06-30T01:06:00ZMaintain calm and cooperate
When the police signal you to pull over, do so as quickly and safely as possible. Find a spot where you can stop without disrupting traffic. Turn off your car engine, roll down your window and keep your hands visible on the steering wheel. Do not make sudden movements or try to exit the vehicle unless the officer asks you to do so.
Being respectful and cooperative with the officer can significantly affect how the situation unfolds. However, cooperation does not mean self-incrimination. You have the right to remain silent and you do not have to answer questions about where you were or what you were doing.
Field sobriety tests and breath tests
Arkansas law enforcement might ask you to perform a field sobriety test or take a breath test. Remember, you have the right to refuse these tests. However, refusal may lead to automatic suspension of your driving license under the implied consent laws in Arkansas.
It is important to know that field sobriety tests can be subjective, and many sober people fail them. Likewise, breath tests can sometimes give inaccurate readings. If you choose to take the tests and fail, it is not an automatic conviction for DUI.
After the DUI stop
If the police arrest you for a DUI, remember your right to remain silent. Do not argue with the officer or resist arrest, as this can lead to additional charges. Once taken into custody, you have the right to make a phone call. Use this opportunity to inform a trusted friend or family member of your situation.
Being pulled over for a suspected DUI can be a stressful experience, but knowing what steps to take can help make a tough situation easier to handle.]]>On Behalf of Hatfield Harris, PLLChttps://www.hatfieldharris.com/?p=689802023-05-06T20:08:44Z2023-05-08T20:07:48ZWhy you should avoid social media
The main reason to avoid social media use following a criminal conviction is that anything you post can potentially become evidence against you. Your posts on platforms such as Instagram, Facebook, Twitter and many more are searchable by law enforcement investigators and others outside your social circle.
Even if something on social media does not immediately seem like evidence, it may contain more information than initially meets the eye. Keep in mind that law enforcement can often access your account even if it has privacy settings.
How to handle your online presence
To be safe, consider deactivating your accounts until the situation resolves. At the very least, do not post or engage with other people's posts. However, avoid the temptation to delete posts or your accounts as this may appear as tampering with evidence and create further issues for you.
You should also keep in mind how other people interact with you on social media. Friends and family may try to reach out or engage with you online. It is a good idea to ask that they avoid doing so. Deactivating your account serves the dual purpose of removing your ability to post as well as stopping others from tagging you or posting to your account.]]>On Behalf of Hatfield Harris, PLLChttps://www.hatfieldharris.com/?p=689792023-04-07T20:58:02Z2023-04-11T20:57:10ZCandidate evaluation
The person you choose should have the same values, morality, religious beliefs and child-raising strategies as you do. Your choice also needs the physical, mental, financial and emotional capability to care for your children. Consider choosing someone close to home.
In addition, ensure that your candidate can legally assume guardianship. For example, choose a legal adult with a sound mind that is not incarcerated or does not have violent felony convictions.
Choose a backup
There are circumstances when your first choice cannot take your children. In these cases, you need a backup. Use the same criteria you used for your primary choice.
Ask permission
You need to discuss your decision with the individuals you chose. They should learn what a guardian is and all the responsibilities associated with becoming one. Allow these individuals to take time to make an informed decision without pressure from you.
Choose for now
Instead of thinking years ahead, choose someone who can care for your children at their current age or in the next few years. For example, your parents may have the capabilities to care for your children now, but may not as they age. You can always reevaluate in the future.
As a parent, you should always put your children’s best interests first, so take your time finding a mature, experienced guardian with the ability to nurture and raise your child.]]>On Behalf of Hatfield Harris, PLLChttps://www.hatfieldharris.com/?p=689712023-03-09T16:10:35Z2023-03-13T15:09:39ZDWI suspensions
If this is your first DWI offense, you can lose your license for up to six months. A second offense within five years of the first can earn up to a 24-month suspension. A third DWI, also within five years of the first offense, has a penalty of 30 months without a license. The state may revoke your license for four years after the fourth and future offenses. To get your license back after a DWI suspension, you must:
Finish a victim impact panel program
Complete a state-approved drug and alcohol education or treatment class
Have an ignition interlock device installed on your vehicle
Pay a $150 reinstatement fee
Retake and pass the driver's exam after a revocation
Refusal to test suspensions
Regardless of whether or not you were driving under the influence, you can automatically lose your license for 180 days if you refuse to submit to blood alcohol testing at a suspected DWI traffic stop. Subsequent refusals to test within five years of the first incident can result in longer suspensions. A second refusal earns a 24-month suspension. A third refusal gets a three-year revocation, and a fourth offense results in a lifetime revocation. Except for a lifetime revocation, you can get your license back after the suspension or revocation period by attending a victim impact panel and paying a $150 reinstatement fee. After a three-year revocation, you must also retake the driver's license exam.
A driver's license plays a substantial role in your freedom, so you should take the necessary action to defend your driving privileges following a DWI stop.]]>On Behalf of Hatfield Harris, PLLChttps://www.hatfieldharris.com/?p=689692023-03-08T14:08:27Z2023-02-14T04:10:23ZWhat filing status do you use?
The filing status you choose depends on when your divorce was final. If it was finalized at the beginning of the new year, you could still file jointly for the previous year. If it legally ended before the start of the new year, you will need to file separately. If you are still single and have a child in your home, you can file as head of household.
Is alimony tax deductible?
If you formed an alimony agreement after the last day of 2018, you cannot deduct payments from your taxable income. However, if your alimony agreement pre-dates 2019, it is still deductible.
Is child support tax deductible?
Child support is never deductible, and it does not constitute income for the receiving ex-spouse.
Who claims the children as dependents?
The custodial parent is typically the one who claims the children as dependents. This individual usually lives with the children the majority of the time throughout the year. However, when parents share equal custody, they will often come to an agreement that allows one parent to claim the child every other year. Parents of more than one child will often each claim a child to balance things out.
Custodial and non-custodial parents may qualify for different tax benefits. Additionally, even an explicit custody agreement cannot override divorce tax law.]]>