The Center for Retirement Research at Boston College released a report late last month. Its researchers concluded that it's becoming increasingly difficult for divorcing spouses to maintain their retirement accounts.
Let's face it — there's a big difference in how an average couple's divorce is handled in comparison with a high-profile celebrity divorce.
When it comes to divorce, some husbands and wives will go to great lengths to hide their assets from their spouse in hopes of avoiding having to turn over their hard-earned assets. While it's illegal for someone to take and hide money or belongings when a divorce is imminent, many spouses do it anyways, hoping to never get caught.
When couples have been married for some time, remembering which spouse brought certain possessions into the marriage may be difficult to do. Determining which spouse's salary went toward buying one item versus another may also be difficult to do.
Some legal experts are suggesting that a concept known as an "anonymous divorce" may be fast becoming the desired method for high-profile couples to end their marriages.
In an equitable distribution state like Florida, a judge is often called upon to determine how to fairly distribute marital assets between the couple in alignment with the contributions they've made to the marriage. Even with this approach to asset division in place, it's not uncommon for a spouse facing an end of his or her marriage to try to hide money, property or other valuables, especially if he or she fears losing them in a divorce.
As if divorce weren't complex enough, deciding what to do with a jointly run business can make things even more complicated. There aren't any recent statistics that capture just how many couples jointly own a business. However, one statistic captured in 2000 suggested that just under 7 percent of all 22 million American small businesses were owned by couples that year.
If you grew accustomed to living a relatively comfortable lifestyle while married to your soon-to-be ex, then you likely will want to continue to do so once you divorce. Oftentimes, though, it's not possible because your spouse may have hidden some of his or her more valuable assets, making it impossible for you to enjoy the quality of life that you've long enjoyed.
Divorces not only take a mental toll on spouses, but can take a financial one as well. This is especially the case when the spouses share high value assets like homes, pensions or investment accounts. If you're not cautious in dividing up these types of assets, it's possible that you may either lose valuable assets or not gain rightful access to ones you deserve.
Unless a prenuptial agreement is in place, high-net worth individuals put at risk their high-performing investments, pensions or stock brokerage accounts when property is divided up in a divorce. This is why, despite being illegal, spouses sensing a divorce filing is looming quickly transfer their assets to friends, family members or offshore accounts for safekeeping.