HIGH-VALUE DIVORCES: WHAT ARE SOME COMMON MISTAKES?

On behalf of Stephen Bedor of Law Office of Stephen J. Bedor posted in high-asset divorce on Friday, September 28, 2018. 

In a high-asset divorce, you have a lot to lose or gain. Looking at the facts, those involved in high-asset divorces often end up with less than they began with, whether they get all they intended to. On top of this, the divorce is expensive, making it a financially and emotionally taxing experience.

One of the first things you need to do is to make sure you have your assets valued. A valuation expert can give an objective statement on what your assets are worth, which will be something that can help you while negotiating and if you end up in court. Keep in mind that you may wish to have a specialized accountant work with you, especially if you have unique holdings, like cryptocurrencies.

Where are common errors made during divorces?

One common area is in the valuation of life insurance. Many people have a significant amount of wealth in their life insurance policies, so they should be accounted for fairly to make sure both parties get a portion of what they are due.

Lifestyle is another area where mistakes are made. There needs to be a lifestyle cost analysis, especially if one spouse is not a high earner while the other is. It's important to have a thorough account of how money was spent during the relationship to help the parties come to a fair solution for their property division needs.

Every case is different, so preparing documentation on your assets can help you and your attorney determine what would be a fair solution during your negotiations with your spouse. Stay informed, so you can make great decisions about your financial future.