Frequent Misunderstandings About Marital Property
We have the benefit of over 15 years of family law experience. That means we can guide you through several common misconceptions about the division of marital property in a divorce. These mistakes often involve the failure to see the big financial picture such as considering the tax implications of an asset swap or the impact to your long-term financial liquidity. Remember, as an equitable distribution state, property in a divorce must be divided fairly, but not necessarily equally.
Helping You To Consider The Tax Consequences
You may want to negotiate for the family home. Property transferred subject to a divorce might not implicate capital gains taxes, but it will in the event you later decide to sell. Before agreeing to give up cash or liquid assets in exchange for staying in the family house or another type of asset, make sure you’ve factored an asset’s tax liabilities into the equation. Another mistake in amicable divorces may be avoiding the subject of which parent gets to claim the children as deductions on separate tax returns. We can counsel you through the tax implications of any proposed settlement agreement.
Guiding You Through Divisions Of Securities And Retirement Benefits
You have a right to a share of any employer-sponsored retirement accounts earned by your former spouse during your marriage. To avoid paying taxes, make sure you submit a qualified domestic relations order (QDRO) to the plan’s administrator.
You are similarly entitled to a share of your former spouse’s Social Security benefits. However, federal law governs that process. The Social Security Administration imposes strict conditions that you must meet to be eligible. We can guide you through these intricate requirements.
Don’t Overlook Intangible Assets
The marital estate may also include a license or professional degree that your former spouse acquired during your marriage. You may have even provided financial assistance that enabled your former spouse to obtain that asset. To make an informed offer during property division negotiations, we can help you determine the lifetime value of the license or degree, as calculated by experts.
Contact A Skilled Property Division Attorney
An increasing number of couples are utilizing contracts to clarify their financial obligations. Investing in a prenuptial agreement does not indicate a lack of confidence in your marriage. In fact, it can be just the opposite, a symbol of open communication. Contact us online to schedule a consultation at our Mount Laurel office or call 856-234-2855.