Going for a High Net Worth Divorce? Be Sure to Avoid Some Common Mistakes

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Going for a High Net Worth Divorce Be Sure to
Avoid Some Common Mistakes
Deciding that you want to part ways with your
partner is not enough you will have to through
a process to dissolve the marriage. When you
decide to end your marriage in divorce, you have
to think of many other issues that often make it
difficult to separate your lives from each other.
The most important issue is to determine how you
two will divide property, and it becomes
even complicated when you have a large
number of assets. If you are going to have a
high net worth divorce, you should avoid making
the following common mistakes. The biggest
mistake is to not work with a financial advisor.
Many people do not realize that a high net
worth divorce involves so many complex
financial issues, such as business valuation,
real estate valuations, retirement accounts,
investments, and more. In this situation,
you will be better off working with a
high net worth divorce attorney who can help
you know what both spouses earn, own, and owe.
Working with an experienced attorney can help
resolve financial issues and prevent
unexpected complications throughout the divorce
process.
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Trying to hide the assets is another
common yet dangerous mistake many couples
make in a high net worth divorce. Some try to
save their assets by transferring them to a
relative or child, while others may simply
avoid disclosing their total earnings. You
have to understand that hiding assets in
the court is illegal and can lead to
serious consequences. Moreover, taking such a
step would make you lose your credibility it
means you will be at a disadvantage in case
something goes wrong or a dispute arises during
the process. Whenever dealing with anything of
legal nature, you should always provide complete
and accurate financial information or else
you will land in serious trouble later. Not
paying attention to taxes after being
divorce is yet another big mistake to make.
You will have to determine your filing
status and confirm any exemptions you may
have. You should consider issues such as taxes
on spousal support, capital gains, and any
benefits you are getting that may be termed as
taxable income. Again, working with a
financial advisor can save you from all
the hassle because they have the experience
and can help you understand the impact of your
divorce on your taxes. Underestimating the
importance of having a postnuptial or
prenuptial agreement is another common mistake
made by the couples involved in high net worth
divorce. The agreements often help make it
easier to decide how issues, such as financial
assets, business ownership, and inheritances will
be taken care of during divorce. Having one such
agreement in the beginning can often make the
divorce process a little less costly and
complicated. Other than these, you can make many
other mistakes throughout the process of getting
divorced, and those mistakes can prove
quite costly considering the enormity of
the assets involved. Therefore, it
always a good idea to have an
experienced, knowledgeable high net worth divorce
attorney by your side to sail through the process
in a hassle-free way. Article Source
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ivorce-be-sure-to-avoid-some- common-mistakes/