Monday, September 13, 2010

Has Divorce got Easier?

Is divorce now acceptable? Expected even? It is certainly more affordable with the tax credits system. Some divorcing women are better off given the tax credit system, provided they have at least 2 children. Even if they only work 16 hours a week and earn only £500.00 per month, their tax credits are likely to be higher than their income and they get child support from their ex husband.

The tax credit system ignores the level of maintenance you receive from your ex, so in this respect it is non means tested.

The system encourages people to work only 16 hours. An increase in earned income can have a direct impact on the level of tax credits received so it is a disincentive for people to work full time.

What else? Oh yes, the non earning spouse is also usually entitled to legal aid.

There are reports that legal aid will no longer be available for Ancillary Relief (the financial aspect of divorce) and that tax credits are about to be revamped. David Cameron may well support marriage by the detour of making divorce financially unpalatable!!

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