NYC High Net Worth Divorce Lawyers
No matter what your household income might be, getting a divorce can be a major life change. Even someone who is barely getting by can find his or her life completely turned around by an impending divorce, but if you have a high net worth, you might have additional concerns that the average person might not have to worry about. If this is the case, then you probably don’t want to work with just any lawyer; instead, you will probably want to look for NYC high net worth divorce lawyers who are accustomed to helping people in your situation.
Divorce Concerns for Those With a High Net Worth
Anyone who is getting a divorce has a lot of things to worry about. As someone with a higher net worth, however, you have even more to be concerned about. For example, one common concern among those with a higher net worth is the concern that they will lose all of their money to their spouse. The idea of losing everything that you have worked for or that your family might have worked for can be sickening, and you could be concerned about New York’s equitable distribution laws. Fortunately, an attorney can work with you and tell you a little more about these laws and how they will affect you in your divorce. Your attorney can also help you determine which of your assets might not be determined as marital property that has to be evenly divided, such as any inheritance payments that you might have received from your family before you got married.
Another thing that many people worry about when going through a high net worth divorce is how much they are going to have to pay their spouse for things like child support and alimony. Of course, if you have a higher net worth, then you probably do not mind using some of that money to ensure that your children’s costs are covered. However, you might also be concerned about paying an exorbitant amount of child support. Your lawyer will work with you to help ensure that your child support payments are reasonable. Also, if you are concerned about paying alimony, your attorney can talk to you a little more about how it all works and whether or not your spouse qualifies for spousal support. If you do end up having to pay it, your attorney can help ensure that the amount that you pay is reasonable.
Along with these matters, you probably have all of the regular concerns that many people have when it comes to a divorce. For example, if you and your spouse have children, you could want to fight for primary custody of your children, or you might just want to fight to help ensure that you get visitation with your son or daughter. The world of getting a divorce can be challenging, which is why it is so important to have a good team of lawyers by your side.
How NYC High Net Worth Divorce Lawyers Can Help
NYC high net worth divorce lawyers work with individuals on a daily basis who are in the midst of getting divorced. They know all about the many questions and concerns that many of these individuals have, and they will help you address these things. You can get answers to your questions and can downright feel as if you are getting support when you hire an attorney to represent you. Your lawyer will also help ensure that your property is divided properly and that your rights are respected when it comes to things like child custody, visitation with your children and more. Even though this might not make your divorce a good situation, it can help make it better for you.
If you think that your marriage is coming close to ending, it is never too early to seek out help from a divorce attorney. If you are someone with a high net worth, you might have enough responsibilities and worries on your plate, and you probably do not want any more. Luckily, if you work with a team of NYC high net worth divorce lawyers, you can help protect yourself financially and otherwise, and you can have a team of supportive professionals who are on your side during this difficult time in your life.
“High net worth” may sound like a subjective term, but it actually has a specific definition. The Securities & Exchange Commission has defined “high net worth” as an individual net worth in excess of one million dollars. Note that this is calculated without including the value of the person’s main home.
There are some other potential definitions of high net worth as well. If the individual’s income has been higher than $200,000 for at least two years, they may qualify. If a married couple’s joint income is more than $300,000 for at least two years, both individuals qualify as having a high net worth. A person who has had a high net worth in recent years can be expected to continue having a high net worth during the current year.
Some people might not have an income that meets this definition. However, they still might meet the one million dollar threshold based on any of the following factors:
- Real estate properties other than their primary residence
- Any businesses they own
- Valuable assets excluding the primary residence
- A valuable stock portfolio
- Maintenance of an expensive lifestyle
- Holding of certain professional licenses
High Net Worth Divorces Take Longer
As a general rule, when there’s a great deal of money and assets involved in a divorce, the negotiating process can become lengthy. You may simply want to sit down with a list of everything you’re willing to surrender, but this isn’t how the process works. Instead, you’ll have to go through an asset evaluation and complete financial audit. The process of gathering this information alone can take significant time.
Throughout the process, you’ll have to attend depositions and make appearances in court. It’s important to have a realistic expectation of the overall timeline and process. Your lawyer can help you develop the strategy. Make sure you get an attorney experienced in negotiating high net worth settlements.
Financial Issues at Play
There are a number of different financial factors that need to be evaluated and audited. New York has an equitable distribution law. This means that both spouses receive fifty percent of the total marital assets in the divorce. To get a total amount of the marital assets, you’ll need to evaluate:
- The estimated value of any partnerships in professional practices
- Complex and high-income business transactions
- Family businesses and personal businesses
- Retirement assets including stock options, pensions, and 401k plans
- Any trusts
- The value of any real estate property
- Any degrees or professional licenses that increase a person’s earning potential
The Importance of a Statement of Net Worth
There are a number of document that are vital to your divorce proceeding. One of them is the Statement of Net Worth. The document includes information such as your most recent pay stubs and tax returns. You need to provide a full financial disclosure and file it with your court.
It’s not enough to simply produce the statement. You also need to swear that it’s accurate under penalty of perjury. Your divorce attorney will go through all the listed information to be sure everything is complete and accurate.
This document is used to show a basic look at your current financial situation. From there, estimations can be made regarding your needs, lifestyle, and ability to pay spousal support or child support.
Retirement Plans and Stock Options
Corporate executives often have a number of different stock options. These options will be evaluated differently depending on the type. Sometimes forensic economy experts will be brought in for the process.
It can be difficult to divide and evaluate stock options. For this reason, it’s important to talk to an experienced lawyer who can help you strategize the way to protect your assets. Ideally, your lawyer will have prior experience with stock differentiation and an in-depth understanding of stock options.
Another factor in the marital assets is retirement plans. Depending on the circumstances, they can be a major portion of the estate. Usually, experts will gather information about the plan’s value through an evaluation of a pension plan. From there, decisions will be made regarding how retirement assets are divided.
For people with children, both spouses have a right to 50 percent of the money in a retirement plan. The exact value is calculated according to the number of years the money was earned during the marriage.
Complex Divorce Proceedings
High net-worth divorces are often more difficult to represent than a typical divorce case. High net-worth divorces often involve complex tax issues in addition to the division of property and sophisticated financial holdings. It requires the expertise and knowledge of a financially savvy and experienced New York Divorce Lawyer. Spodek Law Group is a well-recognized law firm that provides intelligent representation and trusted advice to individuals who have a high net-worth. We represent both men and women, and we handle every case with respect, privacy, and professionalism.
With more than 50 years of combined experience in handling high net-worth cases, we have a great deal of knowledge in handling successful businesses, large estates, professional practices, and high-value assets and property. At Spodek Law Group our talent is representing clients with preciseness. Because each marriage is unique, we will adjust our representation approach to fit the needs of the individual and reach their desired goals for the divorce. We will effectively and discreetly handle every aspect of a high net worth divorce including but not limited to complex divorce litigation and asset division. Our clientele has included CEOs, public figures, professional athletes, and celebrities who require top-notch service and representation.
A Team of Professionals
Our highly experienced lawyers will work closely with forensic accountants for the purpose of discovering hidden assets, protecting assets, and valuing a company. High net-worth individuals who are business owners require an advanced approach in division and property valuation. We focus on every detail when deciding on an accurate value of a business, possible buyouts, and stock options. Years of experience has also allowed us to immediately identify any special agreements or contracts.
Professional and Sophisticated Representation
When many high net-worth individuals are confronted with a potential divorce, they often attempt to avoid an accurate valuation of assets and the division of marital property. Some individuals will use shell corporations, offshore accounts, and tax shelters in an effort to hide or intentionally downplay their net worth.
When appropriate, Spodek Law Group will retain the assistance of experts so our clients can receive a fair portion of any marital assets or property. We frequently work with business valuation experts, tax professionals, and forensic accountants to locate assets and accurately value their sources of income.
Sources of income often include business ventures, real estate, investment instruments, bank accounts, retirement accounts, and stock portfolios. Our clients are guaranteed a meticulous investigation, and we also employ intelligent and proven strategies for building your case.
Our firm has assisted hundreds of high net-worth individuals with the following:
1) Locating hidden assets
2) Complex property division
3) Marital estate valuation
4) Division of professional practices and businesses
5) Prenuptial agreements
6) High-asset alimony
7) Division of retirement plans
8) Bank accounts, investments, and stocks
9) Real estate and vacation homes
10)Sports cars and boats
A solid tax plan is a great way of maximizing wealth preservation. It lowers the amount of taxes that you are required to pay to the bare bones. It also guarantees that you remain in strict compliance with the laws in your jurisdiction. Tax planning is a long-term solution that does not focus on the present alone. High net worth individuals commonly seek out tax minimization techniques that limit the amounts that they would be asked to pay. It is important that individuals understand the relevant laws that are accepted and those that are not accepted in spite of the fact that there is nothing wrong with it.
Your high net worth lawyer has the job of assisting you so that your state and federal tax liability remains low every year. Tax strategy is necessary because of the ramifications that could arise if you fail to plan. You can ask your lawyer to review your tax position for you by conducting an audit if you have a tax plan in place. Indeed, it makes sense to do this if you are not confident in the one that you currently have in place. Your attorney can point out any oversight and any areas where you can save more on resources. One of the primary responsibilities of your high net worth lawyer is to make sure that the client is sheltered from risk. One way they can do this effectively is by reviewing your estate or tax plan and making certain that it is up to date.
There are a multitude of options available for individuals who think they need a tax plan. These include charitable trusts, life insurance and offshore accounts. It is advisable to sit down with your lawyer so that you can explore all the options that you have available. This is because of the complexity involved with these options. One thing you have to bear in mind is that a good tax plan will serve you over the long haul. Your high net worth attorney will not have a large impact later on, such as in case of a divorce, if your assets are not structured in such a way that they reduce tax consequences proactively.
Combining Strategy and Strength
During a separation or divorce, individuals will often assume that an aggressive approach is the approach to protecting their assets. However, at Spodek Law Group we believe that the way to serve a client is by utilizing a strategic representation approach that is geared specifically for the client’s particular situation while considering the long-term and short-term needs of the client.
Some law firms have the mentality that a win at all cost approach is the approach. However, this approach is often more expensive for the client and often focuses on short-term results. For example, while divorce parties will have to work together when raising their children long after the divorce attorneys are gone. An overly aggressive litigation usually fails to enhance the possibility of future cooperation from the other party and often leaves the children as the victims.
An Individualized Approach
At Spodek Law Group, we ensure our clients receive an individualized approach that not only defends their interest but also the interests of their children. If it is in the interest of our client to take the case to trial, we will litigate forcefully and skillfully. However, if we are able to save our client from a long and complicated trial by negotiating a settlement agreement, we will take the necessary action and focus on a private resolution outside of the courtroom.
If you are a high net-worth individual and you may be facing a divorce in the near future, you may have many concerns about the financial aspect of your life. To schedule a free consultation with one of our attorneys who specialize in high net-worth divorces, please call us today. For the convenience of our clients, we have three locations. All of our potential clients are provided free consultation in person, over the phone, or by video chat.