Premier Family Law Representation In Southern Florida

Mark Abzug

Financial accounts pose a risk during divorce

On Behalf of | May 24, 2018 | Property Division

Property division matters are often complex, especially when there are multiple assets to work through. Making sure that you have a settlement that is in your best interest is the top priority in these cases.

It is easy to become so focused on the house and the car since those are tangible, large assets. You can’t neglect other assets that you might not think about a lot, including retirement accounts and investments. All of these must be handled during the property division process.

Depending on the situation surrounding your divorce, you might need to have some accounts frozen. This is a protective measure that can help ensure that your ex doesn’t run off with all the funds that were accumulated during the marriage.

Some individuals might be tempted to say that they aren’t concerned with the retirement accounts or investments just so they can get the divorce finished sooner. Everyone should be sure to remember that Social Security benefits aren’t likely going to be sufficient for retirement in the future. Taking the time to work through any retirement accounts you have might make a big difference in your future financial stability.

Even if a retirement account is held in only one spouses name, it will almost certainly be part of the property division process. No matter what type of assets need to be divided, you should consider the division options carefully. For example, liquidating accounts and divvying them up might seem like a good idea; however, that will likely change if you consider penalties, taxes and other costs that will come out of the liquidated amount.

Source: Financial Industry Regulatory Authority, Inc., “Will Your Financial Accounts Survive Your Divorce?,” accessed May 24, 2018