Protecting your Assets
Let’s consider a few routine things like going to the dentist, filing your taxes, even doing some household chores. What do all these things have in common? These are things that most of us tend to put off. Who really wants to do any of that? Well, although divorce is a lot more complex than the aforementioned, it also falls under the list of things that many people tend to put off and even avoid. After all, divorce can be painful and, most likely, it’s not something they actually wanted to do.
In addition to those valid reasons, people sometimes put off divorce because they want to protect their assets. Simply put, they don’t want their finances to be dismantled or to be stripped clean of what’s theirs and only theirs. This is completely understandable; these points are also valid reasons for concern. So, we thought we would share a few things that would help if you’re considering going through with a divorce.
- Safeguard your Separate Property – If you hold non-marital property, keep it separate, especially if your marriage is on the rocks. Like if you inherit from your late aunt, keep it separate.
- Secure a Postnuptial Agreement – If you haven’t signed a prenuptial agreement, consider negotiating a postnuptial agreement with your spouse. PRO-TIP: Look for a trusted divorce attorney to help you negotiate an agreement that’s enforceable under the Florida law.
- Protect your Business – If you and your spouse are co-owners of a business, you’ll face extra challenges during a divorce trying to keep it afloat. It may help to swap the business for other assets in your divorce agreement or to arrange a gradual payout if you decide to buy out your spouse’s share in the business.
- Consider an Asset Protection Trust – High-net-worth individuals may consider placing property in an irrevocable domestic asset protection trust (DAPT) prior to the marriage in addition to their prenuptial agreement as an additional measure to protect assets from creditors. Not every state follows this. Check with your attorney regarding the ability to create this arrangement.
- Work with a Divorce Attorney to Reach an Amicable Settlement – It would be ideal to work with your spouse through mediation to achieve a mutually acceptable agreement. If you go to court, your divorce could be messier, more prolonged, and definitely more expensive.
Keep in mind that with the help of an experienced divorce attorney on your side, you can avoid a divorce war and protect your children along the way.
Stay tuned for our next blog. I’m looking forward to sharing a few more helpful tidbits with you… and then some!
QUOTE OF THE MONTH:
“When two people decide to get a divorce, it isn’t a sign that they don’t understand one another, but a sign that they have, at least, begun to.” – Helen Rowland
