What to do next?

Hi

I am looking for a bit of advice please.

Nearly 2 years since divorce process started.

I am 50. Husband 49.

Married for 15 years. 2 children aged 13 and 15.

He is a self employed contractor. His daily rate is £600. He has a good accountant. He pays himself a low salary and takes dividends. His salary inc dividends for last financial year was £42k. For tax purposes, I was also a director and shareholder of the company and took the same salary and dividends as him.

I have been a SAHM for 15 years. It worked for us, I took care of the children and the house. He built up his business.

We had our marital home and a second property. We sold both and split equity 55/45 to me, this allowed me to be mortgage free. We have both bought separate properties.

Savings and investments have been split 50/50. We each have an ISA worth £100k
We have agreed to equalise our pensions

I am currently retraining. I realise I need to be financially independent and want to be. I now have a part time job 2 days a week., minimum wage. I know I need to increase this and will do when I have finished my training. My realistic full time income is £22k, I am starting at the bottom.

We cannot agree on spousal maintenance. We had agreed £1200 per month global maintenance until youngest child reaches 18. He has now changed his mind and wants to wait until April 2020 as IR35 implications will affect his income and I will be working more hours by then. He has suggested paying me £650 pm spousal and £350 pm child maintenance until April 2020 and wants to review it then. I would prefer a clean break and have spousal maintenance capitalised and he just pays child maintenance. I am paying for everything for the children, it costs more than double that a month and I also have my own costs.

I know I am extremely lucky to have savings and a mortgage free house but in your opinion would spousal be awarded or would I be expected to use my savings to cover my monthly needs shortfall each month? I was hoping to invest this to pay towards the children’s future costs, ie university etc. What would be a realistic outcome in this case?

You are talking about capital but you give no figures about what capital is actually available or, indeed, give any indication of the capital value of what you have already received. The figures matter.

Apologies.
After selling both properties my 55% equated to £474k and his 45% equated to £388k
I have bought my property with this money. He has a mortgage as he bought a a bigger house
My pension is £125k
His pension is £223k
We each have £100k isa
Please let me know if you need any further info
Thanks

I see no reason why your husband should not pay you periodical payments until some fixed date in the future by which date you should be financially self sufficient. I see no obvious reason why he should buy out your maintenance claims now by way of a lump sum. To some extent he has already done that in the division of the existing capital. He will, of course, also need to pay child maintenance.

Thank you for your response.
Is it reasonable for him to request we sort the SM out next April?
Will I be expected to use my capital for any monthly shortfall I may have?

Assuming he can afford to do so from income he should pay you sufficient child and spousal maintenance such that you should not need to eat up capital. Child and spousal maintenance is always capable of being varied if circumstances change so if he is not paying sufficient now you should raise that now regardless of whether circumstances change in April 2020.