Divorce frequently comes with asset division, but for individuals with significant financial investments, business interests, or multiple properties, this process can become even more challenging. A high asset divorce can force one party to sacrifice a substantial portion of their wealth—but this does not have to be the case.
A divorce attorney with experience in high asset divorce cases is skilled in helping individuals secure and preserve as much of their financial situation as possible. While it is not usually possible to prevent all asset reallocation, specialized knowledge and strategic planning are necessary for the complexities and risks of high asset divorces.
For the best results, partner with an attorney featuring skills in asset identification, valuation, and distribution, negotiation, litigation, and forensic accounting. Divorce attorneys facilitate negotiations to reach amicable settlements and provide robust litigation support when disputes arise.
What Divorce Attorneys Do in High Asset Divorces
Divorce attorneys serve in many areas during asset division and the potential conflicts that arise because of it. Some of the most important services that divorce attorneys can offer for those with significant wealth include:
Asset Identification and Valuation
Before assets can be divided during a divorce, they need to be identified. Both parties will need to accurately and honestly indicate the value of their estate and ownership of accounts and possessions.
Attorneys often facilitate this process by arranging appraisal services and determining how much a less concrete asset, such as a business, may be worth. Without proper asset valuation, one party may be responsible for a larger burden during the division than is necessary.
For instance, if a business is estimated at a value higher than its actual value, this excess could place undue financial strain on the business owner.
Asset Distribution Guidance
Once the assets are properly valued, an attorney can assist their client in distributing assets in the most advantageous way. In some cases, if the other party is owed an asset that the owner does not want to give up, they may be able to negotiate the surrender of a different asset or compensation of its value in cash or cash alternatives.
Another important part of this process is ensuring only marital property is distributed. Non-marital property, which is any asset acquired before the marriage, does not have to be included in the calculation; an experienced legal team will help clients prove what is ineligible for division.
Child Support and Alimony
When divorcing parties have a child, the individual who owns high value assets is more likely to be responsible for child support payments. They may also be responsible for alimony payments to maintain the other spouse’s standard of living, regardless of whether children are present.
An attorney experienced with high asset divorces will implement strategies to shield the client from undue hardship arising from both alimony and child support. This can include exclusion of non-marital property, proof of insolvency or financial hardship, and more.
Protection and Forensic Accounting
High asset divorces often present additional challenges that are less common in other divorces. An attorney experienced with this area understands how to protect their clients and their assets, which can make the difference between a thriving business closing its doors and the same business continuing long after the divorce.
Divorce attorneys practicing regularly with high asset divorces maintain established partnerships with professionals who can perform forensic accounting services. Forensic accounting is the most detailed type of valuation and auditing, and the results of their investigations are legally suitable for presentation as evidence in court.
Forensic accounting can demonstrate losses that are more difficult to quantify for high-earning individuals. For instance, in a situation of asset division that requires an individual to liquidate a portion of their business assets, a forensic analysis can quantify the losses this may cause beyond the requested dollar amount including opportunity cost, investment gains, loss of highly skilled employees, and more. In this way, the high-earning individual may further mitigate the amount they owe.
Partner with Milstein Siegel During High Asset Divorces
A high asset divorce can present challenges that threaten the long-term financial stability of the higher-earning partner. Enlisting the expert legal counsel and affiliated resources of an attorney familiar with high asset divorces can help mitigate financial loss.
The attorneys at Milstein Siegel help clients preserve their quality of life and business success with established strategies and resources. Contact Milstein Siegel to schedule a consultation.
