Did you know that March is National Asset Management Awareness Month? If you are going through a divorce, knowing, and understanding, your assets is imperative.
Connecticut is an “equitable distribution” state, and an “all property” state, which means that the courts have jurisdiction over all the property that both spouses have, marital and separate. Equitable does not necessarily mean “equal,” but rather fair. Connecticut uses the doctrine of equitable distribution to consider the current and future financial situations of each spouse. This may also include earning potential. Equitable distribution takes into account a number of subjective factors, which is why an exact outcome cannot be provided. Many people going through a divorce believe that they will get exactly fifty percent (50%) of the marital estate, but that is not necessarily true. Also, it is important to consider that an equitable division does not just take into account assets, but also debts/liability.
So why is it so important to understand your assets and liabilities? The short answer is that it could drastically effect negotiations in your matter and it is essential that you go through the divorce process having a clear picture in mind as to what you are seeking, and what may be a reasonable outcome. For example, was a portion of your retirement account accrued before you were married? Has your pension vested? Do you havejoint bank accounts or credit cards? When can you change the beneficiary on your life insurance? These are all things to consider. It is important to keep records, as you will need to produce documentation of your accounts while working towards a settlement.
Do you own your own business? Working with an accountant to establish your assets and liabilities may be in your best interest. If there is a dispute regarding the value of your business, you may need to have it appraised. It is important that you understand what creates the value in your business and if that value can be transferred.
Are you in need of representation in your divorce? Do you have questions about how to better understand your assets, and your options? You can contact Wolf & Shore, LLC for a free, confidential consultation at https://www.wolfandshorelaw.com/contact/. We also offer out-of-court advisement for clients who retain us if you need time to consider your options and assess your situation prior to filing.
