Property division can be a serious point of contention when couples get divorced. Here in New York, marital property is divided in a fair and equitable manner while an individual's separate property remains theirs wholly. The wrinkle is that couples who bring their separate assets into the marriage often end up commingling them, which turns that house your spouse moved into or that car loan that was paid from a joint account into marital assets that are to be divided.
Digital currencies or cryptocurrency have been around since 2009, with Bitcoin being the most popular of a pool that includes thousands of others. While they have surged in popularity, critics worry about the unregulated nature of these markets. Essentially cash stored in the digital format that lives online and is traded on an encrypted blockchain, the concept is a simple one that can nonetheless be challenging to value or divide during divorce, and very tempting to use for hiding money.
News of Jeff and MacKenzie’s split ricocheted around the internet last January. Worth an estimated $137 billion, the world’s richest couple split up after 25 years of marriage. To the surprise of many, there was no prenuptial or postnuptial agreement. The couple’s home state of Washington dictates that marital assets are divided 50-50 under the community law rule, so MacKenzie stood to get half of the Amazon CEO’s stock, ownership of the Washington Post as well as land and other assets.
Restraining orders have an ominous sound to them because of the association with assault and physical or psychological abuse. However, New York State and others utilize s (ATROS) when a couple files for divorce. The general premise is to have the couple put their financials in a holding pattern while the details of the divorce are addressed.
Upon the dissolution of marriage, marital assets are divided in a fair and equitable manner. Like it or not, a business qualifies as a marital asset unless it fits into one of the following categories:
A University of Minnesota professor made national news in September when he was convicted of providing his wife with several forged papers as part of their divorce. These documents reduced the stated size of their retirement account from the actual amount of $891,116 to $745,012. He omitted the fact that there was a second retirement account. All told, the wife would have lost about $353,649 if she had not notified the police that he was providing false numbers.
It seems that engagement rings used to be more modest in size. Recent years, however, have seen a major shift where the ring is one part of a destination wedding on an isolated beach in the Caribbean or a big-ticket hometown wedding.
Part of the process of filing for divorce is creating a list of marital and individual assets. Ideally, the spouses and their lawyers can look at the list and draft a fair and equitable arrangement. While it may be tempting for one side to try to withhold "their money" because "they earned it," it is a mistake that cause a serious problems for those who are caught.
Family law attorneys are a crucial part of any negotiation involving divorce, custody and other common areas addressed during a couple’s split. However, clients must also consider their own priorities during this process. While a judge has to make the final decision during litigation, the two sides should each determine what those priorities are and work towards achieving them.
The changes to the tax code will eliminate a break for those who pay alimony. The old system allowed those who paid alimony (also called spousal maintenance) to deduct that amount from their income taxes. The change goes into effect in 2019, but any agreement signed before the end of the year will be honored.