Divorce proceedings of individuals that have average means are much less complicated than marriage dissolution by individuals that have a high net worth. When couples have substantial assets and are considering a divorce, it is imperative to hire an effective team of lawyers they can handle the process and navigate the couple through the major complexities of their case. Only then can both parties emerge from their marriage dissolution to enjoy a favorable position.

The major challenge in a high net worth dissolution of marriage between a couple relates specifically to the division of their marital property. Unlike couples with average means, the individuals with high net worth require an evaluation of the divorce that includes:

• A proper assessment of their combined unique assets, that might include a professional practice, a privately held business, or a family-owned company

• A proper evaluation of any existing prenuptial agreement, including all of the terms held within that might be legally binding

• A complete assessment and evaluation of all major significant assets, including stock options, holdings, and real estate

One of the biggest portions of a high net worth divorce is all the tax considerations that will result from the division of the family assets. Additionally, major issues can arise when one of the spouses will not fully disclose all the assets in existence. In this event, the opposing side’s attorneys will typically hire expert services, including forensic accountants, to find the assets and make them known to the court.

Part of a lifestyle evaluation will include a detailed description of the lifestyle both parties enjoyed in marriage. Part of the spousal support or alimony will be determined on a variety of issues and guidelines that take in consideration:

• The length of the marriage

• All property holdings, liabilities, and income of the spouse who is entitled to, or asking for, spousal support

• The employment skills, education, and age of the spouse who is seeking spousal support as well as their employment history

• The court usually assess whether the spouse seeking alimony was a homemaker or stay-at-home parent with no outside income throughout the marriage.

Part of a full lifestyle evaluation also includes the total income of the spouses and an accurate assessment of how to properly divide the couple’s high net worth, based on the determination of an accurate valuation of any jointly-held property. An assessment of the property would include the stock portfolio, investments, vacation properties, and the equal division of pensions, annuities, IRAs, savings, retirement plans, and any proceeds from profit-sharing.

By Kenny Leigh