With millions of dollars in assets and business interests on the line, settling a high-asset divorce is never easy. Tensions often run high, and it is easy to act impulsively or make costly slip-ups.
Therefore, it helps to understand what to do in such a divorce to protect your interests and avoid any blunders. Here are some of the common mistakes to avoid.
1. Dissipating or hiding assets
You might be tempted to keep some assets out of the divorce proceedings by hiding them or failing to disclose their existence. However, such dishonest actions are not taken lightly during a divorce. You could lose ownership of the asset in question and face criminal charges for lying under oath.
Similarly, if you misuse marital funds because your marriage is on the rocks, it may come back to haunt you. The misappropriated funds may be recovered from your share of the marital estate in the interests of equitable distribution.
2. Engaging in questionable social media activity
Be wary of what you post on social media during the divorce. It may influence certain court decisions against you, especially those affecting child custody or finances. Your posts may also be misinterpreted and paint you in a bad light.
3. Forgetting about taxes
The tax implications of your divorce should not be overlooked, as they will likely affect you in the future. For instance, if you end up with the family home, you will have to pay property taxes alone. Additionally, since you will no longer be filing a joint tax return with your spouse, you may no longer enjoy some tax benefits like before.
Do not go it alone
Given what is at stake, it is never business as usual in a high-asset divorce. A lot happens in and out of the divorce court, and things can get pretty complicated from a legal and emotional perspective. You need proper legal guidance during your divorce. That way, you will not get shortchanged or end up with less than you deserve when the dust settles.