Divorce is oftentimes a challenging process for a variety of reasons, including emotional challenges associated with the process, but a high-asset divorce can add elements of complexity to the divorce process other divorcing couples may not experience. Understanding the financial aspect of any divorce is important to arriving at a fair settlement that is best for both parties moving forward but small financial mistakes in a high-asset divorce can be particularly costly moving forward.
As a result, it is oftentimes helpful to engage a valuation expert during a high-asset divorce. Valuation experts can help value the couple’s sometimes complex assets and other high-value assets. With proper valuations of their assets, the divorcing spouses are in a better position concerning property division, among other concerns, and arriving at a fair settlement agreement. Valuation experts can help value a partnership interest or interest in a family business.
In addition, specialized experts may also be necessary to help value investments assets the couple may share which can also be quite significant in some circumstances. Life insurance is another area of potential value often overlooked by divorcing couples but should also be taken into account. Finally, a forensic accountant can help the couple properly establish a standard of living enjoyed during the marriage which can have an impact on property division, child support and spousal maintenance concerns.
The divorce process seeks to place both spouses on as solid a financial footing moving forward as possible. The more divorcing couples understand the value of their assets, the better able they are to approach the divorce settlement process and can also benefit from trained guidance along the way.
Source: Forbes, “Getting The Most From A High-Dollar Divorce,” Russ Alan Prince, Dec. 1, 2014