High-asset divorces involve liquid assets greater than $1,000,000 and at least one spouse makes more than $500,000 per year with a total net worth of more than $5,000,000. They are significantly more challenging than a basic divorce due to the asset division negotiation required.
However, divorce mediation may assist you in these negotiations. These are some things you should know about this process.
Accurate asset valuation
Many families have few hard assets, such as a single-family home and a few vehicles, as well as the income they receive from a salary. Many high-asset divorces involve nontraditional assets, such as stock options, capital appreciation, business income or real estate appreciation. It is more difficult to put a value on some of these assets, especially in terms a local judge can understand. However, the right mediator understands these valuations and can help you negotiate their division.
Greater control over the outcome
In a regular divorce process, you appear before a judge to argue your case. Then, the judge determines who gets what. Despite your arguments and the amount of evidence that you present to support your case, you could lose assets that mean a lot to you.
However, during mediation, you have greater control over the division of your assets. You negotiate, and because you understand the value of your property, you can experience a more equal or fair distribution while protecting your net worth. You also control information, so any details that would become public in a regular divorce are not released in a mediated divorce
Despite the advantages of a divorce mediation, it is vital that you choose the right mediator. Select someone with extensive experience, skills and a background in the issues surrounding your high-asset divorce, such as complex income sources and forms.