If you and your spouse have amassed considerable assets before you decided to end your marriage, you’re probably headed toward what’s called a “high-asset” divorce. That means that you’ve got a lot more at stake financially than the average divorcing couple.
Even though this is an emotional time, you don’t want to let your emotions dictate your actions. A cool, calculated approach toward your split can help you avoid unnecessary losses and expenses as you negotiate your split.
Where do you start? It helps to divide your financial issues into four main concerns:
- Income: This includes your income from wages or self-employment and investments. If you’ve historically been financially dependent on your spouse, it may also include some form of spousal support in the future. If you expect to have primary physical custody of the children, your future income may include child support.
- Expenses: You can’t determine how much income you need to maintain your lifestyle unless you’ve taken stock of your regular expenses. It’s also important to remember that you may have to make some adjustments to your standard of living after the divorce. Developing a budget can help you see where you have the most room to make changes.
- Assets: Your assets include anything of value that can’t easily be converted to cash. It may include property, vehicles, tangible items like jewelry and art, stock options, business interests and more. Negotiating a fair split often requires extensive efforts to make sure that each item is valued properly.
- Liabilities: You may have marital debts that need to be split, which means answering questions like, “Who will pay off which credit cards?” and “What will the taxes be if you agree to take this specific stock distribution as part of the split?”
When going through a high-asset divorce, it is recommended that you take a proactive approach to the divorce process. The attorneys at Denis M. Gravel & Associates can assist with your understanding of that legal documents that are relavant in a high-asset divorce.
Schedule a free consultation with an attorney at Denis M. Gravel & Associates, P.C. at 847.855.8447.