In an ideal world, marriages would last forever, and wealthy Maryland residents wouldn’t have to ever worry about divorce and all the complexities it can bring. Although some couples are fully prepared with prenuptial agreements and other legal documents outlining how assets are to be split in a divorce, many are not. This can lead to complex property division – as well as many mistakes along the way.
The first thing to understand is that all the marital property of value needs to be considered and split appropriately. This is not limited to bank accounts. Many wealthy couples share business assets and property. There are also 401(k)s, IRAs, pensions, stocks, and retirement accounts that must be disclosed and split fairly. A divorce financial specialist can help the wealthy ensure their fiscal health.
Divorce can be very stressful, and many people need a shoulder to cry on during this emotional time. They may look to friends and family for advice. While these loved ones may try to be helpful, their well-meaning advice could lead someone in the wrong direction. Wealthy couples often have complex property division issues and are better off getting information from their lawyer or financial adviser.
In addition, put aside the misconceptions about the court. The court will not produce the results most people desire. Couples are far better off trying mediation or negotiating a settlement rather than having their day in court.
It can be challenging to agree on an equitable division of assets in a divorce. That is why more and more couples choose prenuptial agreements before tying the knot. But even without an agreement in place, couples can still come out ahead by avoiding common mistakes.
Source: Forbes, “Three Of The Biggest Mistakes The Wealthy Make When Divorcing” Russ Alan Prince, Jun. 09, 2014