A high-asset divorce involves a couple with high-value assets such as business interests, stock options, cash, real estate, exchange-traded funds and mutual funds. The former spouses may have more than one property to divide and various valuable personal belongings. Below are things to consider when navigating through the tumultuous experience.
Identify and organize your assets
The more assets you have, the harder it will be to account for them all. It is imperative you can identify everything you acquired within the duration of your marriage and separate these from those you inherited or received as gifts. You have the right to keep your separate property. By carefully listing all your assets, you can determine those most significant to you and those you are willing to forfeit when negotiating a settlement agreement. The other party must provide a similar list. If you suspect they are hiding assets, you can hire professional assistance.
Assess your assets
Your family home, vacation homes, jewelry, vehicles, paintings and other joint properties are worth a certain value. It might be wise not to take these for face value because of their potential to generate income or increase in value in the future. After organizing your assets, you can see whether these fixed assets are more valuable than the liquid assets. Similarly, you can also choose to sell your fixed assets for a proportionate monetary value that both parties can split equally or equitably. Be extra cautious during the valuation of your marital property. It is easier to misvalue or misappropriate assets in a high-asset divorce.
Owning certain assets can affect other court orders, such as child support and alimony. They also come with tax implications. Decide what you want to keep and if it could affect your financial situation. If you negotiate successfully, you can reach a favorable settlement agreement.
In a high-asset divorce, you must lay all your cards on the table before going all in. Because so much is at stake, you must not leave room for mistakes.