Divorce will be stressful, regardless of how much wealth you have. Ending such a crucial personal relationship is never easy, as your lives will have become inextricably entwined over the years.
One of the most challenging issues will be dividing your assets, and the more wealth you have, the more complicated it will be. However, if you can treat property division as a mathematical problem rather than a personal issue, you can make it simpler.
There are 3 steps to property division in divorce
Here is what you need to do when working out how you will divide your assets in your divorce:
- Add up what you have: Take time to list everything you and your spouse own, no matter how insignificant it seems. If you are not sure about all the assets owned and fear your spouse may be hiding something from you, you may need to bring in a forensic accountant.
- Subtract anything that is separate property: You do not need to split all your assets in a divorce, only your marital property. Anything that is separate property stays with its owner. For instance, assets you held before you married are separate property, as are inheritances. If you have a pre or postnuptial agreement, that may also clarify assets not subject to division.
- Divide what remains: Once you understand what assets you need to divide, you can work out how to do it. Consider using mediation to reach an agreement with your spouse over who keeps what.
Some people find it easier to think logically than others. Yet, letting your emotions get in the way of property division can make it harder to get the correct result. Thankfully, this is one mathematical puzzle you do not need to tackle alone.