Cockeysville, Maryland Divorce Attorneys

Lawyers Addressing High Net Worth Divorce Issues and Related Matters in Cockeysville

For those who have decided that their marriage is no longer working, moving forward with a divorce can ensure that they will be able to end their relationship and begin a new life as a single person. However, the process of getting a divorce can be complex, especially in cases where a couple owns significant assets. The financial decisions made during a high net worth divorce can have consequences that may affect both spouses for years or decades. Ensuring that these issues will be addressed correctly can help a person protect themselves during and after the end of their marriage.

Addressing financial issues and other legal matters correctly during a divorce will usually require the help of a skilled attorney. At Silverman Thompson, we have the experience needed to assist with divorce cases involving complex financial concerns. We can also make sure our clients will be able to resolve disputes that may arise related to their children, their living situations, and other divorce-related issues. We have the legal knowledge and financial experience needed to address these matters correctly and help our clients resolve divorce cases successfully.

Financial Issues in a High Net Worth Divorce

During a Maryland divorce, a couple will need to divide all of their marital assets equitably. That is, property must be divided fairly based on all relevant circumstances, which may not always result in an equal split. In a high asset divorce, it is important to build an accurate picture of all assets in the marital estate, ensuring that both spouses understand what each asset is worth.

Our attorneys can work with appraisers, business valuation professionals, forensic accountants, and other financial experts to ensure that every asset is correctly identified and valued as we help our clients make decisions about how property should be divided. We can assist with issues related to:

Real Estate Property

Couples with a high net worth may need to address ownership of their primary residence and other real estate property, including investment properties or vacation homes. Each property will need to be appraised to determine its fair market value. This can help a couple determine how each property will be handled.

Some of the most immediate decisions that a couple may need to address will be related to their family home. They will need to determine whether to sell the home and divide the proceeds or execute a buyout by one spouse, who may take steps to refinance the mortgage and maintain sole ownership. Similar issues will need to be addressed when determining how vacation homes or other residential properties will be handled.

Investment and rental properties may involve additional considerations. In addition to the market value of these properties, the ongoing income they generate may play a role in determining the value of maintaining ownership. A couple may need to take steps to sell these properties, ensure that one spouse can maintain sole ownership, or create co-ownership agreements that will allow them both to continue receiving income.

Business Valuations

Business interests owned by one or both spouses can raise complex issues during a divorce. A business owner may want to ensure that they will be able to continue owning and operating their business for years to come. However, both spouses may have an ownership stake in a business, and decisions may need to be made about whether a business may be sold, whether a buyout can be negotiated, or whether ongoing co-ownership will be feasible.

Before addressing ownership of a business, a couple will need to understand its value. A professional business valuation may be performed by a qualified financial professional using different methods. A business may be valued based on its ability to generate future income and its potential for growth. The value may also be determined by comparing the business to other similar companies that have recently been sold, or a company's assets and liabilities may be considered to gain an understanding of the value of business assets.

Retirement Assets

In addition to assets that may be immediately available, it will be important to consider assets that will help a person meet their financial needs in the future. Retirement savings are an important issue to address during a divorce, and any of these assets that a couple accumulated during their marriage will be considered marital property.

When dividing retirement accounts, steps will need to be followed to make sure withdrawals do not trigger penalties or taxes. For employer-sponsored plans like 401(k) accounts, a Qualified Domestic Relations Order (QDRO) can direct the plan administrator to withdraw a certain amount and transfer it to the other spouse. The receiving spouse can defer income tax by rolling funds into their own retirement account. A similar method may be used when withdrawing and transferring funds in IRAs, and it is known as a "transfer incident to divorce."

Other Complex Assets

A couple with a high net worth may need to address issues related to executive compensation and benefits. A spouse who earns a high income or works in an executive position may receive deferred compensation, stock options, and other types of benefits. These are considered marital assets when they have been earned during a couple's marriage. When dividing these assets, a close analysis of vesting schedules and other information will need to be performed.

Investment portfolios may also require complex financial considerations, and spouses will need to understand the capital gains taxes that may apply when dividing these assets. Our attorneys have the experience needed to help address these financial concerns, and we can help clients work with professionals who can provide guidance on the best steps to take to protect their interests.

Other Divorce Issues

• Alimony: When there is a significant difference between a couple's income or earning capacity, or when one spouse has made sacrifices to their career to support their household, spousal support may be a factor to address during a divorce. Ongoing support payments can help a spouse cover their expenses and take steps to ensure that they will be able to support themselves in the future.
• Child Custody: During the divorce process, parents will need to address issues related to legal and physical custody of their children. A parenting plan will be incorporated into a couple's divorce decree, and it will address issues such as how major decisions about children's upbringing will be handled and how parenting time will be divided. A comprehensive parenting plan can help ensure that co-parents will be able to work together to raise their children in the years following their divorce.
• Child Support: Both parents' incomes will play a role in determining the amount of ongoing support that one parent will pay to the other. Custody arrangements may also affect these calculations, and parents may need to determine how additional expenses, including health insurance costs and childcare costs, will be divided.

Contact Our Cockeysville, MD Divorce Lawyers

Silverman Thompson can provide the financially sophisticated legal representation you need to address the issues that may arise during your divorce. Our lawyers will ensure that every asset is correctly valued, that you will be able to negotiate a settlement that will meet your ongoing needs, and that issues related to your children will be handled correctly. Contact our Cockeysville divorce attorneys at 410-385-2225 and schedule a confidential consultation.