Divorce affects individuals throughout Tennessee each and every day. From the individuals who choose to end their relationships with their spouses to the kids whose parents choose to legally end their unions, divorce can be a messy process as lives, money and property is divided up.
However, from a financial perspective there are a number of steps that married individuals can take to protect their wealth and the future inheritances of their children in the event that they are contemplating ending their marriages. Though the information provided in this post may be particularly useful for individuals who anticipate that they will have high asset divorces from their partners, readers of any economic means may glean important guidance from its contents. However, readers are warned that this post does not provide legal advice and those who have questions should address them with their personal family law attorneys.
It can be crucially important for married individuals to keep their separate property separate during their marriages. For example, if one partner to a marriage receives a large inheritance or financial windfall in only their name, they might decide to take steps to keep that property under their sole ownership. Separate property that is mixed or used with marital property may become marital property as well and therefore divisible during a divorce’s property division process.
Additionally, a person should know what kinds of assets and investments they have and how much those assets are worth. Asset valuation can give an individual an idea of how much wealth they possess and can prepare them to transfer property to trusts and other legal devices for their protection during the divorce process.
From 401(k) accounts to artwork to vacation homes, Tennessee residents can hold wealth and property in many different forms. How those assets and accounts are structured and protected can make a big difference in how they are divided during divorce. To learn more about wealth protection during the divorce process readers are invited to speak with their family law attorneys.
Source: Kiplinger, “Strategically Thinking About Divorce,” Andrew Bass, April 5, 2017