If a couple is going through a divorce involving high net worth, the process can be complex, but there are certain ways to make it simpler and less overwhelming. There can be many issues and assets involved in a high-net-worth divorce, but the following tips can help couples prepare.
Plan for the Divorce as Soon as Possible
While it’s certainly possible for couples to reconcile their differences and opt-out of the divorce, it’s important to plan ahead in case the relationship doesn’t work out. A divorce can be challenging, especially when a large amount of money is involved, which makes it necessary to plan quickly if a divorce is likely. Speaking with a family law attorney about the distribution of assets can help keep the divorce process efficient and organized.
Avoid Shortcuts to End the Divorce Process
Divorces involving individuals with high net worth can take longer because of the amount of money and assets at stake. A lengthy divorce process can induce a lot of stress and may tempt people to cut corners and settle quickly to put an end to the process, but this could be detrimental and result in an unfavorable settlement. It’s best to stay strong throughout the divorce and keep in mind that it will eventually end.
Don’t Keep Any Assets Hidden
At the start of the divorce process, one of the first steps will be to create a detailed list of all assets involved in the divorce. The list will indicate what each person owns and what could be divided. If individuals fear that they may lose assets in a divorce, they may be tempted to hide them, but this dishonest practice can harm a person’s case when dividing property if discovered. It can also lead to legal consequences.
Follow Court Orders
Failure to follow the court’s orders can also result in serious consequences, particularly in high-net-worth divorces. Orders may include paying spousal and child support on schedule and others.
Work with an Accountant
The divorce process can also involve a lot of potential tax consequences, which make it worthwhile to speak with an accountant in addition to a divorce attorney. An accountant will be able to work with individuals to better understand their finances and determine how ownership might impact each person.
Taking these steps before and during a high-net-worth divorce will help couples avoid potential complications and frustrations throughout.
