Dividing marital property can become especially difficult when an estate includes businesses, multiple properties, investments, retirement accounts, trusts, or other valuable assets. A complex property division attorney in PA from Mette Attorneys at Law can help develop a strategy for protecting your financial interests during a complex divorce process.
Complex Property Division
A high-value marital estate may contain several different types of property with different ownership structures, tax consequences, liquidity concerns, and documentation requirements. Complex property division requires more than creating a list of assets and assigning a value to each one.
During divorce, Pennsylvania courts divide marital property equitably. Marital property is any asset acquired during the marriage, excluding gifts and inheritances. Separate property typically includes assets acquired before the marriage and are generally not subject to division, unless they have been mixed with marital assets or grown in value during the marriage.
In order to categorize which assets are marital or separate, our attorneys can work with professionals to trace the origins of your property.
Closely Held Businesses
A privately owned business can be one of the most complicated assets involved in a divorce. Determining the business’s value may require an examination of financial records and all sources of income. Disputes can arise when spouses disagree about the company’s worth or the extent of a spouse’s marital interest. A business may also have substantial value without having enough liquid funds available to satisfy a property settlement.
Our team can coordinate with appropriate financial professionals when analysis is necessary. This approach can help clients understand the actual impact of dividing a business interest instead of treating the business as a simple monetary asset. For example, one spouse may retain a business while the other receives a greater share of liquid investments or real estate.
Real Estate and Investments
Real estate holdings and investment accounts can create additional complications when dividing a marital estate. Some property may have been owned before the marriage or received through an inheritance, creating questions about separate-property interests. If the assets grew in value during the marriage, that growth may be considered marital property and be subject to division during divorce.
Our team can trace the origins of your assets and categorize them accurately to ensure a fair distribution during divorce. Tracing can become particularly important when separate funds were used to purchase marital property or when inherited assets were deposited into accounts that were later used by both spouses.
Retirement and Deferred Compensation
Retirement accounts can represent a substantial portion of a marital estate, but they cannot always be divided like ordinary bank accounts. These benefits may have different rules governing ownership and distribution. Our attorneys help clients identify the marital portion of retirement and deferred compensation interests and address the legal requirements involved in dividing those benefits.
These issues can have long-term financial consequences. A proposed settlement that appears balanced on paper may have a very different practical value during divorce. For example, one spouse might receive a $100,000 investment account while the other receives $100,000 from a retirement account. Taxes and potential penalties on the retirement funds could mean the spouse receiving that account ultimately has less money available.
Mette Law Can Assist During Equitable Distribution of Complex Assets
Dividing property can be one of the most difficult parts of ending a marriage. Mette Attorneys at Law can help you make sense of the financial picture and address concerns before an agreement is reached. Contact our office today online or call 717-232-5000 to discuss your circumstances with one of our lawyers.