You Must Consider The Division Of Your Investments Accounts Pursuant To Your Divorce
Couples who have investments, such as brokerage accounts must consider the taxation of capital gains and losses into account during property division. Each party is entitled to a fair portion of the value.
At The Prince Law Group, we help you determine how your financial decisions made today will affect you after your divorce. Our attorneys review your finances with you, analyze those of your spouse, and educate you on your share of the marital estate.
We can assist you with the division of investment accounts for these and other financial vehicles:
- Stock options
- Retirement accounts, such as pensions and 401(k)s
- Real property
We discuss sharing the stocks held within a brokerage account in kind; meaning parties will split each company stock as fairly as possible. For instance, it would be unfair for one person to receive 100 percent of a successful stock while the other receives 100 percent of an unsuccessful stock. Instead, if there are 10 shares of Pepsi held in an account and the account is being shared equally, each party would receive five shares.
Why Do I Have To Divide My Investments With My Spouse?
Connecticut law states that all property and assets owned by either member of a married couple are considered part of the marital estate, regardless of how long each person has owned it. The only exceptions are for property and assets that are protected by a prenuptial or postnuptial agreement.
What Is The “Marital Portion?”
Typically the term “marital portion” is the amount a specific investment, or other asset or piece of property, has increased during the course of your marriage. So if you had a 401(k) that was worth $20,000 when you got married and its value has increased to $50,000 since then, the marital portion will be $30,000.
Make Sure You Are Prepared For The Future On Your Own
- Divorce Tax Consequences
- Real Estate
- Employee Benefits/Pensions
- Retirement, 401K, IRA, QDRO
- Business Valuations
- Debt, Bankruptcy & Divorce
- Accounting For Hidden Assets
- Fraudulent Conveyance Of Property
- Executive Benefits
- Division of Investment Accounts
- Art Collections & Other Personal Property
- Expat/International Pensions