For many New York spouses, the division of marital wealth is a top priority during a divorce. The outcome of the property division process will have lasting ramifications for both parties. In order to obtain financial security for the years ahead, is necessary to reach a fair and favorable divorce settlement. This is one of many same sex divorce/family law matters that a divorce attorney can assist with.
When addressing the division of marital wealth, it is important to carefully consider retirement savings. Many people believe that a straight 50/50 split of retirement savings is a fair outcome; in reality, however, there is often a distinct imbalance between the earning capacity of one spouse versus the other. If one party has a considerably higher income and is more employable than the other, then he or she will be able to recover any losses in retirement savings relatively quickly. The other party, however, is unlikely to have the same opportunity. In such cases, an equal split may not be the most just division of retirement savings.
Another consideration during property division is the tax ramifications of various strategies. Some types of retirement accounts require a higher tax burden than others. Understanding how taxes will impact the bottom line is critical to making a fully informed decision.
These are just some of the considerations that need to be made during the property division process. For those in New York who are preparing to address same sex divorce/family law matters, there is no such thing as being overly prepared. Entering the process with a comprehensive understanding of New York divorce law in the financial aspects of various decisions is key to success.
Source: Forbes, “Divorcing Women: Don’t Lose Out On Funds You’re Entitled To“, Jeff Landers, Dec. 7, 2016