High Income and Net Worth Divorces in Las Vegas, NV
For divorces involving high income and high net worth in Nevada, it is important that every detail of the case is handled correctly. Whether the property was acquired before or during the marriage, it is important to preserve the assets and reach a favorable resolution. The family law attorneys at Mills, Mills & Anderson help our divorcing clients with asset preservation throughout Las Vegas and the surrounding areas of Clark County, Nevada.
At trial, the outcome in a high income and high net worth cases is less certain. Many of the statutory provisions and guidance from case law are centered around the issues in lower and middle-income cases. For high income and high net worth clients, the mechanical calculations that might occur in other types of cases do not apply. The courts have greater discretion when valuing and divide assets. The courts also have greater discretion when structuring alimony or child support. The uncertainty in these cases can make litigation more risky and expensive. When the stakes are higher, it is important to find an attorney that is particularly qualified to handle these types of complicated cases.
Many of these cases involve a business, closely-held corporation or an executive compensation plan. Important tax considerations will apply to any agreement reached between the parties. Many of these cases involve financial experts that can assess and value the assets, identify tax considerations, and propose a division of the assets that makes the most sense for each spouse.
Couples with higher income and assets also want to protect their privacy during the proceedings and find a speedy and dignified resolution. The attorneys at Mills, Mills & Anderson help clients who want to protect the wealth they have accumulated before and during the marriage. If your divorce case involves a higher income or higher assets then contact the experienced divorce attorneys in Las Vegas, Nevada, at Mills, Mills & Anderson. We represent clients throughout Clark County, including Las Vegas, Henderson and North Las Vegas, NV. Call our office to schedule a confidential consultation to discuss your case.
Assets to Divide in a High Net Worth Divorce in Nevada
In many high net worth cases, the parties acquired much of their wealth prior to the marriage. These case might also involve an inheritance or gift from relatives. Some of the property will be considered separate property and some of the property will be considered community property. The division of these assets will also impact other parts of the case including the amount of alimony and child support awarded.
In a high net worth divorce, the types of assets involve might also become difficult to value and divide. Those assets can include:
- a small business or closely-held corporation;
- a professional practice;
- majority and minority stock and partnership holdings;
- commercial real estate;
- multi-level real estate investments or trusts;
- hedge funds;
- private equity funds;
- commodity-based holdings;
- retirement benefits;
- executive compensation plans;
- a stock portfolio, or
- other investment income.
Call us to find out more about the complex issues affecting the value of these assets and how those issues should be resolved in your divorce case. We help our clients understand the tax consequences of selling commercial property, the primary residence or vacation homes. Tax considerations also come into play when considering capital gains on the liquidation of long-term or short-term investments.
Alimony in High-Income Cases in Nevada
When the husband and wife each earn vastly different incomes, the courts look at alimony to resolve those inequities. Alimony is designed to provide additional support for the spouse with a lower income. Alimony or spousal support is separate from child support and the distribution of property earned during the marriage.
The court considers a number of factors including whether one spouse gave up educational or employment opportunities to raise children or support the other spouses’ career. Alimony comes in different forms including a lump-sum payment or periodic payments.
Tax considerations will play a critical role in how the alimony issues are resolved. Unlike property distribution, alimony is considered taxable income to the recipient and a tax deduction to the former spouse who pays the support. In some cases, one spouse may decide to accept or waive property rights in return for a greater amount of alimony.
Child Support Considerations in High-Income Cases
Although child support calculations have largely become mathematical calculations in low and middle-income cases, in high-income cases, those mechanical mathematical calculations do not apply. Instead, the courts look to a host of other facts to determine a fair amount that adequately provides for the children and helps them maintain their standard of living. In high income and asset cases, the parties are also more likely to provide for the children’s college education, life insurance, health insurance and medical and dental expenses.
Because the parent will primary custody will handle more of the day-to-day expenses for the children, the non-custodial parent is ordered to pay child support. In middle and lower income cases, that amount is typically a percentage of the non-custodial parent’s income. In higher income cases, the support amount is designed to reflect a fair allocation of the financial support need for the children. More deviations for the child support guidelines are made in these cases.
If the non-custodial parent fails to pay child support as ordered, the courts have many tools to make sure the support is paid. Those tools include contempt of court proceedings, wage garnishment, seizure of tax refunds and liens on commercial or residential property.
Circumstances can also change quickly in high income and asset cases. One or both parties might go back to modify an old child support order based on a substantial change in circumstances in income and ability to pay. Until the modification is granted, the payments ordered must be paid. Therefore, the timing of filing a modification action is important.
Using Experts in a High Income or Asset Divorce Case
When the income or assets of the parties are high, each side might hire a financial expert to help resolve issues in the divorce. The experts can help the parties gather the necessary documents, preserve privacy, value property, and disclose the required information to the other side. The experts can also look at all the tax considerations to propose a solution that makes the most sense for each side. Experts used in these types of divorce cases can include:
- Certified Financial Planners (CFP);
- Certified Public Accountants (CPA);
- Experts to Value a Business;
- Forensic Accountants; and
- Appraisers for Commercial and Residential Real Estate.
Attorneys for High Income and Asset Divorces
If your divorce involves a high income or assets, talk with an attorney experienced in those types of complex divorce cases. From the division of assets through alimony determinations, an experienced Las Vegas divorce attorney can help you preserve the wealth you have earned. These cases require a higher level of attention.
We represent clients in complex divorce cases throughout Clark County including Las Vegas, Henderson, and North Las Vegas. Call our qualified family law attorneys today to schedule a consultation to discuss the unique facts of your case. Call (702) 386-0030 today to schedule a consultation.