842 Route 25A, Northport, NY 11768
BADANES LAW OFFICE
High Net Worth Divorces
Divorces which involve a spouse or couple that have a high net worth (in income, assets or both) have issues that are unique compared to other divorces.
In New York, if you and your spouse’s combined income is greater than the so-called child support cap (currently the cap is $163,000, but this will increase in February/March, 2024) then the Court has the option to apply the child support formula to that greater income. Many judges will apply the child support formula to the income above the child support cap. However, there is no common formula or number as to how much child support will be ordered for income in excess of the child support cap.
In addition to the basic child support, families with high net worth typically provide greater opportunities for their children. For example, private schools, private lessons, tutors, athletic trainers, and specialty camps. These more expensive items must be accounted for in providing for the children after the divorce.
Another important inquiry is how much spousal maintenance (alimony) will be awarded. It is likely that spousal maintenance will be awarded where one spouse has a high income and the other spouse has little to no income. Similar to the child support formula, there is a spousal maintenance formula. However, the spousal maintenance formula is a guideline and depending on many other factors, the Court can deviate from the spousal maintenance formula.
In many high net worth situations, one spouse may own a business. Although, the other spouse may not have actively worked in that business, the courts recognize that you provided non-economic benefits. Accordingly, you may be due compensation from these non-economic benefits.
In a high net worth situation, clients will generally have more assets that will need to be distributed. Finally, parties that have a high net worth are more apt to have a trial to determine the financial issues.
These are just some of the issues that are unique to a high net worth divorce. It is important to retain an attorney who understands these issues. David Badanes and the Badanes Law Office has helped numerous individuals in these situations. If you need an attorney to represent you in your divorce, call David Badanes and the Badanes Law Office today at 631-239-1702, email me at firstname.lastname@example.org.