The coronavirus pandemic has become a brutal shock to many people’s wallets. States have ordered businesses to close during necessary lockdowns, causing people to lose their paychecks. Unemployment compensation and the added stimulus amounts have helped some stay above water, but some are faced with severe difficulties.
Divorce happens and ex-spouses may be required to pay child support for the children. The parent with custody often depends on the child support to make ends meet. The current trouble stems from the lockdowns and business closings in the short term. The ex-spouse who must pay the child support is not able to due to no personal fault.
It results in appeals made to the court regarding financial obligations. Financial wellness for either party can be seriously affected. If both sides are willing to negotiate an interim financial agreement, knowing that will change once things return to normal. In California, financial relief in the form of stimulus checks are possible but can be intercepted for past due child support. This can happen because of a pre-existing garnishment order that allows interception for child support arrearages.
What is the Solution?
An individual may need at least some of the stimulus check for economic survival. A viable solution is good faith effort payments. When paying child support, courts will look favorably on people attempting to pay, and a reasonable attempt to pay may convince the court to allow a person to keep some of the money. It is essential that this same individual get the proper guidance and assistance in generating a good faith payment. Countrywide Pre-Paid Legal Services has a financial wellness benefit that can provide needed support.
A Professional to the Rescue
Countrywide uses a nationwide network of certified counselors to help plan members. The financial experts are in the community where client organization does business. Social distancing is not a problem and a counselor can arrange a remote meeting with a plan member. That same plan member has priority over others in getting help.
The financial wellness counselor can look at a person’s budget and determine where some alterations can be made to free up the money. It can reduce credit card payments or renegotiate loans, and the result is additional money that was once unavailable. The extra cash resulting from the budget analysis will be a good faith payment. The counselor’s work may also show the court that the plan member intended to continue child support and did everything possible.
The counselor does not stop with budget analysis work. This person can also provide advice on dealing with a college loan, medical bills, and other everyday financial matters. What is essential is that the financial wellness plan member is protected thanks to the advice and efforts of the Countrywide counselor.
Employers Can Recognize the Advantage
The day will come when the coronavirus is no longer a problem and businesses will reopen. Management must be able to hold on to hard-working employees and generate long-term loyalty. A financial wellness plan can do that easily.
We allow our clients to make the benefit even more attractive by tailoring it to the workforce’s needs. We explain our benefits to prospective clients and permit them to choose what options will be part of the plan. We provide administration and superior member service. Employees will recognize how the organization has gone the extra mile to help them with their financial challenges. It is an appreciation that pays dividends in retention and increased productivity.
If you have any questions about our financial wellness plan, please feel free to contact us at your convenience. We would welcome the chance to explain what we can do to help your employees make it through the coronavirus crisis.