Most people plan to have a marriage is a journey of shared dreams and aspirations that should last a lifetime. Unfortunately, some relationships deteriorate over time due to personal changes or spousal misconduct, making divorce a possibility.
Any divorce can be fraught with financial pitfalls, but high-asset divorces are particularly vulnerable to missteps that could lead to significant financial loss. When planning your high-net-worth divorce, here are some critical questions you should ask to safeguard your individual property.
Are my inherited wealth and assets at risk?
They may be in jeopardy if you have not taken steps to keep the multigenerational assets you inherited separated from your marital property. As a rule, inheritances are not subject to equitable division in Kentucky unless they become mixed with marital assets, which is a common occurrence.
What about my premarital assets and investments?
These may also be at risk for the reason above: the commingling of separate property with marital property. For example, if you transfer funds from an account you owned before marriage into a shared one, it mixes the funds, and they become jointly owned marital property.
Will I lose a share of my international assets?
Investing in foreign assets can be lucrative, but it can pose numerous challenges in a divorce. Overseas property may still be subject to the state’s distribution laws. What makes it complicated is that the laws in the country your assets are in may also be a factor in dividing the property.
There are many ways to protect your property and other assets safe when divorcing. A legal representative can explain your options and recommend solutions that shield your separate assets and your fair share of marital property.
