Divorce For Business Owners & Professionals
Are you a business owner or a professional who is considering divorce? If so, you may have unique legal and financial concerns that others do not. For instance, business owners may worry about how divorce will impact their company, while many professionals may have concerns about whether they will lose their pensions or retirement accounts.
If you have questions about these complex divorce-related issues, the law firm of Wilson C. Pasley, PLC, can assist you. With more than a decade of legal experience, I, family lawyer Wilson C. Pasley, can explain your legal options and guide you through this often complex process.
How your divorce is handled can directly impact your financial well-being as well as your business’s future, so contact me today. From my office in downtown Roanoke, I represent clients throughout the surrounding area, including the counties of Botetourt, Craig, Floyd and Montgomery. You can reach me online or by calling 540-627-5026.
How Are Businesses Divided During Divorce?
Virginia is an equitable distribution state, which means that marital property is divided fairly, not necessarily equally, during divorce proceedings. In the most basic terms, marital property includes any income earned or property acquired by either spouse during the time they are married. Therefore, if you started your business after you and your spouse got married, your soon-to-be ex will be entitled to a significant portion of its value.
If splitting the business in two is not practical, the court may award the entire business to one spouse — usually the one who ran it — and award other marital property or assets to the other spouse to offset the difference. In any case, it is crucial to make sure the court properly values the business as it may impact how marital property is distributed.
Alternatively, if you owned a business prior to getting married, it will be considered separate property, meaning you do not have to split its value with your ex-spouse. However, it is important to keep in mind that any increase in the business’s value while you and your spouse were married may be considered marital property and thus subject to division.
Dividing Pensions And Retirement Plans
Similarly, pensions and retirement plans, including 401(k)s, may be divided during a Virginia divorce — at least to the extent that they were earned while you and your spouse were married. As with businesses, dividing retirement plans can be extremely complicated and involve many complex calculations and valuation methods, which is why it is always best to seek legal guidance.
If you need to speak to an experienced divorce attorney for business owners and professionals, contact Wilson C. Pasley, PLC. Your financial future is too important not to act immediately.