Our clients came to us arranging their divorce with wealth tied up in several kinds of assets, each with their own tax implications:

• Principal Home
• Rental Properties
• Non-Retirement Investment Accounts
• 401(k) Account
• Pension

Creating a fair and equitable divorce agreement for this couple requires understanding the tax implications of their assets and making sure each party has equal access to their money throughout their life. The initial agreement proposed that the wife kept the home and rental properties, and the husband kept the retirement account and pension. This proposal limits the husband’s access to wealth until he reaches retirement age and requires the wife to manage rentals throughout her retirement for a monthly income.

With our financial guidance, they agreed on a 50/50 split of the 401k and 60/40 split of the pension, and gave the wife the home and rental properties. With this agreement, each party has a totally reliable source of income throughout their retirement.

Divorce planning requires understanding personal finance and tax implications to design creative solutions that give each ex-partner their most fair and efficient financial future moving forward.

Let Emerald City Divorce Solutions help you navigate a fair and equitable split through your amicable divorce process.