What are the Characteristics of a High Net-Worth Divorce?By Moskowitz Law Group, LLC |
If you or your spouse has a large number of assets or a large income, assets could become difficult to divide in a divorce. That is where an attorney experienced in high net-worth cases could help. Untangling your assets from your spouses is complex in the best circumstances, and when the assets and liabilities to separate are so numerous, the task may be overwhelming. Thankfully, there are many legal avenues an attorney could help you pursue to potentially ease this process.
In cases where there are large incomes or a large amount of assets for the parties involved, there may be a prenuptial agreement listing assets such as properties or businesses and identifying them clearly. Having such an agreement could potentially lower costs by saving time in the process and may reduce your stress through the course of the divorce.
Joint Net-Worth vs. Individual
Certain assets between spouses can be claimed for equitable distribution. It is often thought that if an asset is only in one spouse’s name, that it will not be subject to equitable distribution though this is not always the case. While a joint net worth might be subject to equitable distribution, there is a good chance individual net-worth may be exempt so it is important to know the difference. Net-worth that is inherited or owned prior to marriage is not subject to equitable distribution and is considered “individual.” Inherited assets are only subject to equitable distribution in certain cases, often in relation to alimony and child support.
Real Estate and Business Valuations
When a couple owns multiple homes or properties, their value must be determined. If one or both spouses own business assets, a spouse and their divorce attorney may need to hire a forensic accountant or other expert witnesses to evaluate the enterprise. If a business was owned prior to the marriage, it must first be determined if it qualifies as a marital asset, though profits from the business distributed as income during the course of the marriage will most likely be subject to division.
Other Assets To Consider in New Jersey High Net-Worth Divorces
In high net worth divorces, stocks, stock options, significant retirement funds, or other financial instruments might present issues. In New Jersey, retirement assets that are built up during the marriage are considered marital assets and can be subject to equitable distribution as well. The eligibility for the division of other types of assets depends on when and how they were acquired, but a divorce lawyer experienced in handling wealthy divorces could advise which assets might be at stake.
Contact an Attorney Today
High net-worth’s or large incomes may make the division of assets confusing. Knowing what assets are subject to equitable distribution and what to do with your business and property assets could make the process smoother. Contact our attorneys today to seek help in finding the best way forward and start meaningfully separating your life from your ex’s.