Most couples with a high net worth in the state of Massachusetts did not get where they are by letting their money sit in low-yield savings accounts; they invest. What happens to these investments, though, when a couple chooses to end their marriage? Who gets to keep what when the divorce is final?
Investments, like all other assets, are subject to division if they are considered marital property. How various investment accounts are tapped to divide them depends on a number of things, such as the type of account, tax penalties, financial penalties and fees. Some accounts can be split without any issues; others are a bit more complicated to handle.
Any investment accounts that are considered personal property are not subject to division. However, specific account details may need tending to — for example, beneficiary designations. If a spouse is a primary beneficiary, one will likely want to change that as soon as possible, unless there is a reason to keep that individual listed as a beneficiary.
High net worth divorce cases can be complicated to get through, particularly when a couple has various investments and financial accounts to divide. Figuring out the best way to do that so that one walks away with the best settlement terms possible can take time. Thankfully, Massachusetts residents do not have to figure this all out on their own. With the assistance of financial advisors and attorneys who specifically handle high net worth cases, it is possible to reach divorce terms that serve one’s best interests.