How to Determine the Value of Luxury Assets in a New Jersey Divorce
During a New Jersey divorce, assets will be divided through the process of equitable division. This means that assets will be split fairly, but there won’t necessarily be an equal split. In order to fairly distribute your assets, you will have to know their true values. Read on to learn more about how to determine the value of luxury assets and why this is such an important step.
How are Assets Valued?
Unfortunately, you cannot always rely on your spouse to tell you the true value of an asset. He or she may attempt to undervalue the asset in order to keep it or avoid splitting it fairly. Additionally, assets can be hidden. There are a few ways a spouse can hide assets during a divorce, such as:
- Overpaying on taxes so they can get the money back in a refund the following year
- Asking an employer to delay a promotion or raise until after the divorce
- Delaying the receipt of a large commission from work
- Transferring assets to a friend or a separate bank account
For these reasons, it is important to retain the help of an expert who can uncover hidden assets and determine the true value of assets.
How are Assets Split?
When it comes to luxury assets, there are a variety of different ways assets can be split. For example, couples that own vacation homes together can both keep ownership and split the time they have there. This ensures neither spouse has to give up the home entirely. However, there are other cases in which a spouse may need to give up certain assets so they can keep others. If one spouse wants to keep a certain high-value item, they will have to compensate the other spouse with assets that are of a similar value. It is important to keep equitable distribution in mind during this time, as it is used to settle a fair division.
What if Assets are Sold?
In some cases, it can be easier for luxury items to be sold so the money can be split between spouses. This may be beneficial in the following situations:
- It may be too costly or impractical to keep certain assets as a single adult
- The asset’s sentimental value may be tied to the marriage
- Spouses may need the money to pay for their divorce or certain marital debts
If you are getting divorced in New Jersey, you will need the help of an experienced divorce attorney. Contact our firm today. We are here to advocate for you and walk you through the process each step of the way.
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If you need an experienced legal team to guide you through your divorce, contact Townsend, Tomaio & Newmark L.L.C today.