High-asset divorces are typically more complex than standard divorces because of the many assets that need to be divided. While there’s no specific dollar amount that qualifies a divorce as high-asset, the general understanding is that the assets are worth millions.
High-asset divorces can be challenging since California requires an equitable property division in divorce disputes. They often involve more than just splitting a bank account, a house and a vehicle. Trusts, vacation homes, corporate revenues and financial dividends from stocks and other investments may also be involved.
Key considerations in a high-asset divorce
As with any divorce, it’s important to take stock of all of your assets and debts that were acquired during your marriage. Consider also what you and your spouse brought into the marriage. You also need to consider the following:
- Spousal support: A judge will endeavor to assist you in maintaining your accustomed lifestyle. If, for example, your spouse is the sole breadwinner and he gives you a $5,000 allowance every month, the judge will most likely order your spouse to continue providing that to you.
- Child support: Consider how much you spend each month on your children. Along with the basics, such as food, shelter and clothing, remember to include any private school tuition and things such as dance classes, music lessons and sports participation fees. Know what these things cost and be prepared to present evidence if you are the one seeking child support.
- Hidden assets: If you suspect that your spouse is hiding assets such as a second bank account, you need to do some digging. Uncovering any hidden assets is key to a fair and equitable split between you and your spouse.
You need to be aware of the tax implications when you divide your assets. Because the discovery process can be overwhelming, don’t handle it alone. Seek guidance with the process to pursue a fair and equitable divorce.