Divorce can be a challenging and emotionally draining process for anyone, but when it comes to high asset divorces, the stakes are often heightened. As a woman going through a high asset divorce, it’s crucial to prioritize your financial well-being and take proactive steps to secure your future. In this blog, we will discuss strategies, tips, and advice specifically tailored to empower women during a high asset divorce process.
In a nutshell, in a high asset divorce, women should take seven steps:
- Seek legal representation immediately;
- Understand the family’s financial status;
- Take steps to protect their financial interests;
- Secure Financial Support;
- Protect your business interest;
- Participate in Mediation; and,
- Plan for Future.
Seek Legal Representation Immediately.
When it comes to high asset divorces, there are two equally important considerations when it comes to obtaining legal representation. First and foremost: retain a competent and experienced attorney. Not every divorce attorney has experience handling a high asset divorce – more on that later. Second, hire an attorney as early as possible; if possible before you separate and when you are in the contemplation stages. An attorney might encourage you to seek marriage counseling before filing, but even when you work towards reconciliation, you should be prepared in case you do not reconcile. An experienced high asset divorce attorney can help. You do not want to be caught off guard when your spouse serves you with divorce pleadings.
Understand Your Family’s Financial Status.
When you hire a divorce attorney before you separate, you will have the opportunity to learn about your family’s financial status which will be very helpful during any divorce proceedings. Of course, we do not want to cause you to worry: if you were just served with divorce pleadings, an experienced divorce attorney can obtain all the necessary information for you.
If you are able, you should collect all relevant financial documents, statements, tax returns, pay stubs, and investment portfolios to ensure you have an accurate overview of your marital assets. If it’s possible that your litigation may become acrimonious, you may want to keep copies of these documents at a safe location outside of the marital home.
Protect Your Interests.
Protecting your financial interests should be a top priority during and prior to a high asset divorce. Prior to the divorce, monitor your accounts regarding unusual transfer activity or inexplicable expenses. Make sure that your computers, email account and financial institution access have new passwords and your passwords are not accessible. Once you have filed for divorce, follow your divorce attorney’s advice.
Experienced attorneys will provide highly tailored advice, and each situation is different. If you do not feel confident about your attorney’s abilities, get a second opinion, but self-help can create disastrous consequences in high asset divorces.
Secure Financial Support.
In high asset divorces, spousal support or alimony can be a significant factor. There are different ways to secure your financial independence. You may be employed earning sufficient funds to pay your day-to-day expenses. However, if you were the primary caretaker of the children or have always had lower earnings than your spouse, you will need support orders for you and the children. It is important to accurately assess your long-term and short-term needs and have realistic expectations for the foreseeable future. Work closely with your attorney to accurately evaluate your financial requirements, taking into consideration your lifestyle, age, health, education, and employability.
Protect Your Business Interests
If you or your spouse own a business or have a stake in any business ventures, it’s crucial to protect them during a high asset divorce. Seek advice from an attorney with expertise in business valuations and division of business assets. They can help assess the true worth of your business and explore options such as buyouts, co-ownership, or selling to ensure fairness in the division.
Collaborative Approach and Mediation.
High asset divorces don’t have to be overly antagonistic, time-consuming, or emotionally draining. In many cases, collaborative divorce or mediation can be a more amicable and cost-effective alternative. These methods allow you and your spouse to negotiate directly, with the assistance of trained professionals, to reach mutually satisfactory agreements on the division of assets, child custody, and support. However, some spouses may feel very protective of the assets they accumulated during the marriage, and might not be open to sharing information about the marital assets in which case an attorney can help you determine the marital assets.
Secure Financial Support.
In high asset divorces, spousal support or alimony can be a significant factor. There are different ways to secure your financial independence. You may be employed earning sufficient funds to pay your day-to-day expenses. However, if you were the primary caretaker of the children or have always had lower earnings than your spouse, you will need support orders for you and the children. It is important to accurately assess your long-term and short-term needs and have realistic expectations for the foreseeable future. Work closely with your attorney to accurately evaluate your financial requirements, taking into consideration your lifestyle, age, health, education, and employability.
Plan for the Future.
A high asset divorce is an opportunity to build a solid financial foundation for your future. Engage the services of a financial planner or advisor who can help you create a realistic budget, establish savings goals, and invest your settlement proceeds wisely. Once the divorce is finalized, consider updating your estate plan, including your will, a living trust, power of attorney, and beneficiaries, to reflect your new financial situation.
Going through a high asset divorce can feel overwhelming, but by prioritizing your financial well-being and seeking and retaining the right support, you can navigate this process with confidence. Remember to educate yourself, hire the right professionals, and take proactive steps to secure your financial independence. By doing so, you empower yourself to not only survive but thrive in your new chapter of life. If you have questions, call our experienced divorce attorneys at 616-285-0808 to schedule a free, no obligation consultation.
