Divorce Financial Settlement in Ontario
Financial Settlement After Divorce in Ontario
Ontario Family Mediation Service
Professional Family Mediation Services near Ontario
Typically, it is best to discuss a divorce financial settlement prior to filing for a divorce. As mentioned on the ‘Divorce and Property in Ontario’ page of our website, divorce financial settlements that are written in a Separation Agreement are crucial for ensuring you can move forward knowing your finances are resolved and nothing is outstanding.
Generally speaking, a divorce financial settlement involves coming to an agreement on property division and child and/or spousal support. Specifically, key issues discussed during a divorce financial settlement include:
- Sale or Transfer of title of the Matrimonial Home
- What to do with your bank accounts, both individual and joint
- Division of registered assets in Ontario, pensions
- Allocation of debt
- Pre-marital assets/debts
- Spousal support
- Child Support
- Life Insurance
In many cases discussions on the above topics occur during the joint mediation sessions.
Divorce Process for a Financial Settlement Agreement in Ontario
How Mediation Assists With Divorce in Ontario
Family Mediator in Ontario
Hire a Family Mediator in Ontario
The divorce process for a financial settlement begins with providing one another and your mediator with full financial disclosure. This includes but is not limited to tax returns, other income information, bank account statements, property valuation(s), debt statements, as of your Date of Marriage (if applicable) and Date of Separation.
A divorce financial statement also known as a Net Family Property Statement is created so that all property can be laid out in a spreadsheet like form. A version of a divorce financial statement that we use in mediation is called a Net Family Property Statement. Each asset and debt are listed individually on a divorce financial statement. Completing a financial statement in full is crucial for the separation and divorce process and helps to ensure your Separation Agreement is valid.
If choosing mediation to help you and your spouse/partner come to a financial settlement after divorce/separation, it is best to try and work together to submit your financial disclosure to your mediator. Doing so can save money, time and added stress, as for some this can be a daunting task.
When all financial disclosure has been provided, you can begin to have educated and informed discussions on how you will divide property, who will retain what assets/debts, what will you do with the matrimonial home, what will happen with the family business etc. You will also discuss matters regarding child and spousal support and extraordinary expenses for the children.
Discussions and negotiations happen during this time in the mediation/divorce process.
Financial Settlement After Divorce in Ontario
Settling Divorce Finances The Easy Way in Ontario
Family Law Mediators in Ontario
Your Local Family Law Mediators near Ontario
A financial settlement after divorce/separation will look different for everyone. It may mean that one party is keeping the matrimonial home and removing the other party from the title, or you may have sold the home and equally received the proceeds.
If one party is wishing to be “bought out” of the matrimonial home as part of the divorce financial settlement, then you should start with agreeing upon the value of the matrimonial home. This involves having a real estate agent or appraiser estimate the value on the property, so you can work in mediation to come to an agreement on the valuation. For a lot of couples, the matrimonial home is the most valuable on their financial statement and is a very important item of discussion.
If part of the divorce financial settlement involves a RRSP rollover, where registered funds are being transferred from one party to the other, you may need to fill out a T2220 Transfer Form. A T2220 Transfer Form is used to transfer money from one party’s unmatured retirement account to their former spouse or former common law partner’s retirement account. The transfer will take place on a tax-deferred basis, as long as the funds remain in the RRSP or RRIF.
Another form of a divorce financial settlement could be a cash payment from one party to the other to equalize Net Family Property.
Calculating and agreeing upon child support and spousal support amounts is also part of the mediation process and financial settlements. Please visit our ‘Child Support’ page and ‘Spousal Support’ page for more information.
Divorce Finances in Ontario
Assistance With Drafting a Divorce Financial Statement Near Ontario
Ontario Family Mediation
Family Mediation Online Services For Ontario
When the decision has been made to separate and divorce, emotions run high. In many cases, the new reality will look different; physically (being in a new home for example), mentally, emotionally, and financially.
Many families during a time of separation and divorce will now experience living in two separate homes, with each their own bills to pay and monthly expenses. Starting the process, it is important to understand your finances and spending the time to go through them to ensure you have a good understanding of your assets and debts, as well as your incomes.
A divorce financial settlement can involve receiving a certain amount in child support and/or spousal support each month. Working within your own budget is a good idea to make sure you can stay on top of the monthly expenses. Topics of divorce finances and budgets are part of the discussions, during the mediation process.
Again, it is crucial that both parties have a good understanding of their finances during divorce, both at the time of creating a Separation Agreement and after it is signed. The goal for many couples in mediation is to try and reach resolution on all matters and feel that the agreed upon resolutions are fair. The hope is that couples can use mediation as a way to finalize the division of property in Ontario, during their mediation process.
Ontario Divorce Finances
Divorce Financial Statement Service Near Ontario
Our Simple 5 Step Process
Simple, Efficient, & Effective
Our process for mediation is simple, efficient, and effective. We offer convenient scheduling through our online booking platform, strive to remain responsive at every step of the way, and always ensure your utmost confidentiality throughout the entire process.
Discover our straightforward step-by-step process below.
30-45 minute joint meeting with your mediator
Both parties must attend of their own accord
Any questions are answered
Discuss the process, costs, as well as your respective wants & needs
Confidential one-on-one session with your mediator
Screening for domestic violence and power imbalances
Screening of suitability for mediation
Opportunity to discuss your feelings regarding the separation, your anxieties, worries, and goals
Your mediator guides you through discussions regarding division of property, child and spousal support calculations, and parenting plan
Agreed upon terms drafted into a Separation Agreement
On average between 2 to 3 two-hour sessions
We will draft your Separation Agreement, Net Family Property Statement, Parenting Plan, and supporting calculations based on your agreed upon terms
We will review your draft documents together prior to finalizing them to ensure all the information discussed in mediation is covered in the document
Discussion of your next steps and options for moving forward
Turning Point Family Mediation
100 King St W, Suite 5700,
Toronto, ON M5X 1A9
Tel: (905) 552-9515
5 / 5 stars – based on 9 reviews