Looking Ahead to the Future
It is inevitable that your financial future will look very different after a high-asset divorce than it does prior to going through the process. In order to remain on top of your financial status at all times, it’s important to understand how your finances may change when your divorce is finalized.
Assets and Tax Consequences
You and your high-asset divorce attorney will work hard to protect as many of your assets as possible, but you should be prepared to negotiate asset division with your spouse and lose some assets in order to protect others. Assets up for division in a high-asset divorce typically include the following:
Stocks, bonds, mutual funds, and cryptocurrency investments
Real estate (usually additional pieces of property outside of the family home)
Retirement accounts such as 401(k) accounts or IRAs
Digital assets such as NFTs or web domain ownership
Intellectual property (patents, trademarks, creative works)
In addition to understanding the possible outcomes of asset division, you should also be aware of the potential tax implications you may face if you lose or acquire assets as a result of your high-asset divorce. In this situation, you should be sure to consult a local tax professional to help you understand your tax liability.
Should you and your spouse have children, you should be aware of the potential child support obligation you may face and whether you are paying child support or receiving support on behalf of your child. In addition, understand that the California child support formula may lead to a higher payment amount if you make a higher amount of money.
You may also be facing potential spousal support payments, specifically if you make more money than your spouse did when you were married, and losing the benefit of sharing your income will lead to your spouse having difficulty maintaining their basic living expenses. The presence of both spousal support and child support could significantly impact what your financial situation may look like after a high-asset divorce.
Ask Questions of a High-Asset Divorce Attorney
Because of the complex nature of high-asset divorce cases, you should be sure to seek the guidance of an attorney who understands high-asset divorce and has experience working with the various challenges present in these cases. At TRABOLSI | LEVY | GABBARD LLP, we can help you navigate the complexities of high-asset divorce to help you come out at the end of the process in a good position moving forward.
Learn more about high-asset divorce in California or schedule your consultation by calling us at (310) 455-8364 or visit our website.