If you and your spouse are considering a high net-worth divorce, you will want to understand the various factors that come into play. Continue reading and reach out to our skilled Bergen County, New Jersey high-net-worth divorce lawyer. Here are some questions you may have:
What makes a high net-worth divorce different?
When it comes to a high net worth divorce, it is financially much larger than a typical divorce. This is not only because of the magnitude of the assets that need to be assessed during the property division process, but also the essence of those assets, and the difficulties they can cause when trying to equitably distribute them.
Assets that are generally affected in a high net-worth divorce include the following:
- Businesses
- Professional practices
- Real estate
- Trusts
- Stock options (IRAs, 401(k), etc.)
- Pensions
- Uncommon, high-value personal items
- Complex tax considerations
With so much at stake, it’s crucial you only move forward with a competent and aggressive divorce attorney on your side. Our legal team is equipped with the knowledge and experience required to protect you and your finances during this stressful time.
Do I need to show my finances during a high net-worth divorce?
With a contested high net worth divorce, both spouses are required to provide proof of their finances either via tax returns or net worth statements. This shows the court an in-depth knowledge of the finances within the marriage. The court will use this knowledge to decide what each spouse is worth and how they can accurately split assets between the two of them. It is important to recognize that the information is also communicated with the Internal Revenue Service (IRS) which ensures there are no miscalculations within the financial claims. As a result, it is essential that couples are open regarding their finances.
In what ways can I protect my finances?
You will want to recognize your options to best protect your finances in the event of a divorce. You can draft and sign a prenuptial agreement before the marriage is authorized. This is a document that permits couples to determine what happens to their assets if the marriage does not work out. Spouses are also able to acquire a postnuptial agreement to accomplish the same goals, however, you will need to note that this document must be signed after the marriage is official.
How are prenuptial agreements used for high-net individuals?
Prenuptial agreements are often used in high-net-worth divorces and require a careful understanding of the couple’s current circumstances. These agreements are crafted according to both parties and their unique circumstances.
To learn more about high-net divorces, reach out to our legal team today to discuss the details of your case and your options. We are on your side.
