Stock options were a popular form of compensation in the 1990’s and 2000’s, especially with tech companies, as a way to compensate employees and also keep them at the company. Since the options were often not exercisable for years the employee had an incentive to stay with the employer and help the company grow, so that the options would grow in value.
Read MoreMany older couples stay married because they are on a fixed income and it's just not financially feasible for them to split up and have two separate households. But in cases where they DO want to get divorced, it can be a struggle to determine how they can afford it. Even if one or both spouses are still working, clients who are close to or at retirement age face some unique issues and challenges.
Read MoreThe government may give, and the government may take, but in the case of Social Security they can be quite generous! Even when a couple divorces it may be possible for one spouse to collect a benefit larger than their own, based on the work record of their ex-spouse.
Read MoreAbout a year ago our Divorce Tips highlighted the tax implications of selling the family home in a divorce, and which spouse is eligible for the $250,000 home sale exclusion. There have been many questions about how the exclusion actually works. This issue will revisit the topic in detail.
Read MoreSometimes in a divorce one spouse will move into a second home that the couple had owned while married. Often the property had been rented and the spouse receiving the property decides to convert it to their personal residence.
Read MoreClosely-held family businesses come with their own unique problems in a divorce. They can be difficult to value, yet the importance of an accurate valuation is critical to a fair and equitable distribution of assets. In addition the future of the business becomes a discussion point when both husband and wife are involved in the company.
Read MoreAccording to Edwin Schilling III, JD, one of the most significant problems with QDROs is not having them prepared before the divorce is final. Mr. Schilling lectures attorneys on "The 30 Most Common Errors in QDROs."
Read MoreAlimony, or maintenance, is often awarded in a divorce. In order to have alimony be tax-deductible to the payer, the payments must stop upon the payer’s death. Were the payer to die however, the recipient would lose an expected stream of income. A simple way to cover those lost payments is to have the divorce decree stipulate that life insurance will be carried on the life of the payer in an amount that will replace the alimony in the event of the payer's death.
Read MoreIn a marriage where one spouse is the primary wage earner, one concern is maintaining health insurance for the non-career spouse. When completely on their own, how does a non-working spouse acquire health insurance coverage?
Read MoreThere are many ways that assets can be hidden in an impending divorce. Following are a few to be aware of:
1. Financial statements to acquire a loan: Any loans from lending institutions require sworn financial statements to be filled out. In most cases, the borrower is trying to impress the lending institution with the extent of assets and may exaggerate these. Looking back five years or so at these statements may put you on the trail of assets which are now unaccounted for, or which show valuations substantially greater than what is now claimed.
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