Regardless of the circumstances, divorce is a hard process to go through. The emotional impact of ending a relationship by itself is hard, and the process of dividing assets and property can make things more contentious between you and your spouse. A high net worth divorce is even more difficult, thanks to the complexity of the legal proceedings and the length of time the proceedings and property division take to resolve.
With greater wealth and a variety of assets, the process of dividing them can be very stressful and full of strong emotions, which only worsens the longer it takes. In Colorado Springs, CO, wealth is meant to be divided fairly, but often the process is not that easy, particularly in the case of high net worth divorces. The higher the net worth is, the more complications are likely to appear through the division of property and assets.
For many reasons, it is important that you hire an experienced attorney for your high-net-worth divorce. You are going through a very hard time, and you need someone with knowledge and understanding of the intricacies of divorce law to protect your best interests. Such a case can be a difficult thing to deal with, and even if you understand the legal proceedings, you may find yourself unable to keep up with the demands of court due to your schedule. Letting a qualified professional handle it will ensure that your divorce case is taken care of with individualized care and concern for your wishes.
It is likely that you are not fully aware of the value of everything you own. Homes, cars, investments, art collections, and more need to be evaluated by experts so that wealth is split equitably between you and your spouse. If you enter court proceedings without full knowledge of your wealth, you could find yourself at an unfair disadvantage.
At Johnson Law Group, LLC, we have experience with all types of Colorado Springs family law, including high-asset divorces. You can feel confident that we have the background and skills necessary to provide you with the advice and defense you need for the best possible outcome. We use our resources and experience to provide you with the individualized legal representation you need to achieve a fair and equitable distribution of assets.
Colorado divorce law splits all property owned by you and your spouse in half. This does not mean every asset is split 50-50, but that each person receives 50% of the wealth from marital property. Therefore, it is very important that assets and property are accurately valued. Assets that are split may include property, stocks, residential houses, art pieces, jewelry, business shares, investments, and bonds. Although you may be tempted to divide property yourselves, this is likely not your best option. Even when you and your partner aim to split things evenly and be honest, mistakes can happen, and wealth could be distributed unevenly. If one party is trying to hide assets, this can also lead to further complications and unfairness in splitting wealth.
The process of dividing assets and property can be emotionally upsetting for both parties, particularly because of the effect it has on each party’s standard of living. It is important for an accurate valuation of net worth to be conducted before wealth is split, but this can take some time and money to achieve. The more assets there are, the longer it will take to determine their value. When you start this process through the courts, you will want to have a divorce attorney well-versed in high-net-worth divorces on your side to make it go more quickly. The process will already be long, and you do not want it to take even more time than needed to accurately evaluate your assets.
Additional complications like prenuptial agreements can make a divorce more complex and time-consuming to resolve. Prenuptial agreements are often done when one spouse enters a marriage with more assets than the other and wants to protect those assets in the event of a divorce. Although prenuptial agreements are often meant to make the process of wealth division easier, there could be questions about what it applies to currently or if it is still a valid agreement. Not all prenuptial agreements are legally binding. These complications will also take time.
If one spouse earns the highest income or owns more property, this does not change the equitable division of assets. Both parties still receive 50% of the property and assets. The spouse who earns less is entitled to alimony to maintain their standard of living during the process of divorce, until the equitable division is determined.
Child custody and support are important issues during high net worth divorces because you want to keep your child’s best interests in mind. There are a number of things that courts look at when determining issues such as child support and custody. It is important to ensure that a child’s lifestyle is not affected by a high net worth divorce, because dealing with a divorce is already difficult enough for children. Tuition, after-school activities, sports, lessons, and childcare are all things that need to be paid for.
Children always need as much of a stable life as possible in any divorce, and this needs to be considered during high net worth divorce proceedings. Your children’s trust funds can further complicate the division of assets, which is why you need qualified Colorado Springs high net worth divorce attorneys.
A: Average legal representation in Colorado is around $250 per hour, but someone who specializes in family law will likely be more expensive. The more complex the process, like a high net-worth divorce, the more expensive it is, because of both the complexity and the length of time needed to resolve things. Many assets may have built up over a marriage that are considered shared property, and spouses may even own a business together. Property owned before a marriage or property inherited during a marriage will likely lead to legal arguments about whether it is considered marital or separate property.
A: If the combined net worth of both parties is $1-2 million or more, it is considered a high net worth divorce. The more combined wealth there is, the more complications within legal proceedings there are, in addition to all the normal complications of a divorce. A Colorado Springs high net-worth divorce attorney can help ease this process for you.
A: Colorado is not a community property state; it is an equitable distribution state. Property and other marital assets are not automatically split 50-50, although a fair and equitable splitting of assets often leads to a 50-50 or equal split of assets. A fair division of assets must also be agreed upon by both parties.
A: Identifying assets as separate or marital property can be difficult during divorce proceedings. Marital property is split equitably, but even separate property can sometimes be affected by divorce. Appreciation of an asset during a marriage, even a separate asset, could be considered marital property. Because of the division of property, whether it affects marital or separate assets, divorce is likely to affect a person’s net worth.
A: The formula for deciding alimony in Colorado takes the combined income of both parties, multiplies it by 40%, and then subtracts half of the lower-earning income. This is not the only way that alimony is potentially determined and is often different in high-asset divorces. Colorado also looks at the length of marriage when deciding alimony. In most situations, the Colorado court will assign alimony after 36 months of marriage. Sometimes a court will still award alimony for shorter marriages if there are young children involved and a parent has to stay home to take care of them.
If you are looking into a high net-worth divorce in Colorado Springs, you want to be sure that you are working with an attorney who has your interests in mind and who will look at every aspect of your divorce. There are many things you may not have considered about your net worth, and the smallest mistake can affect the fair split. An attorney who only handles average divorces will not have the skills and experience needed to properly handle a high net-worth divorce, and this could also lead to you receiving less wealth than you deserve.
When you hire an experienced and aggressive attorney, you want to be confident in their ability to focus aggressively on your goals and walk you through each part of the proceedings. Let a Johnson Law Group, LLC, attorney fight for your interests, whether your divorce is high conflict or pleasant, to ensure that things are fair for both parties. Our skilled attorneys want to help you gain what is rightfully yours so that you can maintain the standard of living you are used to. To get the best possible outcome for your case, you need a personalized and strong defense. Contact our firm today to see how we can help with your high-net-worth divorce.