Married couples who decide to split do not need any additional factors to complicate the process. Unfortunately, a pair’s financial success could work against them when they are dividing assets.
As with any legal situation, a comprehensive view of the matter can simplify things. Well-to-do spouses should be aware of the following considerations before going through with a divorce.
Handling international and out-of-state assets
Families with a high net worth typically have many kinds of assets in various forms because wealth managers diversify funds to grow and protect an estate. Those assets may often be in entities in a different state or another country.
Out-of-state property might not be overly complex to handle but could require a few extra steps to ensure an equitable division. On the other hand, foreign investments may be subject to different tax laws, which can affect how a couple wants to split them to prevent an oppressive financial burden.
Also, foreign assets are under the jurisdiction of their respective country’s property division laws which can vary widely from those of the United States. Since many countries have stricter privacy regulations, assessing and valuing foreign assets can be more challenging.
Determining marital versus separate property
New Jersey follows the pattern of many other states by applying the principle of equitable division of marital property. Thus, mates do not have to share separate property that a spouse acquired before the marriage or individually as a gift or inheritance. However, with many more assets to consider, distinguishing separate from marital property can take much more time and effort.
Many wealthy couples are able to divide assets in a way that causes minimal difficulties to both parties. By understanding all the pertinent elements and proceeding cautiously, the parties to a high-asset divorce can come through the case successfully.