Is Your Divorce a High Asset Divorce?

 Posted on December 07, 2015 in High Asset Divorce

When a divorcing couple has a high net worth, their divorce may be considered to be a high asset divorce. Couples going through high asset divorces can sometimes face issues that other couples do not face because of their wealth. For example, a couple who owns multiple pieces of real estate has much more to consider than a couple that rents a house or apartment. Other issues, like dividing stock portfolios and savings accounts, can also be more difficult to divide at higher values.

If you are part of a high net worth couple, work with an attorney who has experience handling high asset divorces. Because high asset divorces can involve certain unique considerations, it is important to work with an attorney who understands these considerations and can work with you to address them properly.

Handling Your Business Division

Many high asset divorces involve business ownership. If you, your spouse, or the two of you own a small business, the business needs to be properly valued in order to be divided among you and your spouse. This can be done through a number of methods, depending on your plans for the business after your divorce and whether there are other owners involved in the company as well.

QDROs

A qualified domestic relations order (QDRO) is a legal order to add another name to a pension plan or other retirement account to allow that party to take advantage of its benefits. If you or your spouse have such an account, a QDRO might be part of your property division to make the spouse who does not own the account an alternate payee.

Managing Real Estate Assets

Real estate assets need to be valued in order to be divided fairly, just like businesses and other assets. This can require the involvement of a real estate appraiser in your divorce. Investment properties are not treated the same as a couple's primary residence – as properties used for income or vacations, they are not tied to the couple's children's lives in the way that the primary home is entwined with them if the couple has children.

Spousal Maintenance When One Spouse Earned Significantly More than the Other

When there is a substantial income difference between a divorcing couple, there is often a large power difference that makes divorce through mediation or collaborative law a poor choice. In cases like this, spousal maintenance is often an issue that needs to be determined, especially if one of the spouses did not work outside the home at all during the couple's marriage.

Kane County Divorce Attorneys

If you are considering ending your marriage and you and your spouse have considerable assets, contact our team of experienced Kane County high asset divorce attorneys at Goostree Law Group, P.C. We are equipped to handle the unique challenges that can come with a high asset divorce. Do not wait to contact our firm – be proactive and schedule your free legal consultation with us today.

Disclaimer: Goostree Law Group uses an outside QDRO consultant to assist in the preparation of QDRO documents.

Sources:

https://www.irs.gov/Retirement-Plans/Plan-Participant,-Employee/Retirement-Topics-QDRO-Qualified-Domestic-Relations-Order

http://www.ilga.gov/legislation/ilcs/documents/075000050k504.htm