Maintaining a Standard of Living
Divorce is rarely easy, and the various issues surrounding the process can add their own layers of complexity. Spousal support is an important part of many divorces, but understanding how spousal support is awarded is even more critical in a high-asset divorce.
Here are important facts to keep in mind when considering high-asset divorce and spousal support.
Calculating Spousal Support
California does not have a formula used to calculate spousal support in a divorce; rather, a judge examines certain factors listed in the California Family Code and makes a determination based on those. These factors include the following:
The length of the marriage.
Each party’s standard of living during the marriage and their projected needs to maintain that standard.
The ability of each party to pay and maintain that standard of living.
The ability to take care of children (if any) and hold a job.
The overall age, health, and wellbeing of each party.
The tax impact of paying and receiving spousal support.
How much spousal support is awarded and for how long those payments must be made depends on the unique circumstances of each case based on these factors.
The Key to Spousal Support in High-Asset Divorce
Perhaps the factor that might influence the outcome of a spousal support award in a high-asset divorce is the standard of living held by each party during the marriage and each person’s ability to maintain that standard of living. While this might not make as large of an impact in a more “traditional divorce,” this factor may have a more significant impact on a divorce involving a larger number of assets.
If a couple about to go through a divorce had a rather affluent lifestyle, then the court may take that into consideration when awarding spousal support. This could mean higher payments by one spouse and to the other, which could significantly impact the payor’s standard of living after a divorce. Therefore, individuals preparing to go through a high-asset divorce should be aware of these spousal support award factors and just how much they could end up paying after the divorce is finalized.
Work with a Carlsbad High-Asset Divorce Attorney
Because high-asset divorce is often more complex than “traditional” divorce, it’s important to work with an attorney who specializes in navigating the complicated assets and issues surrounding these cases. At Griffith, Young & Lass, our team is dedicated to helping clients in high-asset divorce cases work through the various challenges that arise throughout the proceedings while working to protect what is theirs.
To learn more or to schedule a consultation, call us at (858) 371-5569 or visit us online.