3. BUT THIS CAR HAS ALWAYS BEEN MINE
It’s painful, but most guys’ precious belongings become prime targets in a property dispute. Some guys will buy a toy – an old car to fix-up, a train collection to repair – as a hobby and diversion during a divorce. The problem is, those toys are property, too. Anything you do that causes the property to appreciate is work you are doing for your spouse, too. The best thing to do is leave all your precious belongings alone – don’t go fixing up that car or collection, because the more valuable it is, the more likely you will have to sell it, give it to your wife or fork over some cash to buy her out of “her share.”
4. I KEEP THE BANK ACCOUNT, SHE GETS THE RETIREMENT
A bank account and a retirement account may have the same balance on paper, but that does not mean they have the same value. In the pursuit of a quick settlement with liquid assets, and hoping to avoid an expert’s fees, some guys will swap a bank account for a retirement account. The problem is, $50,000 in the bank now is not the same as $50,000 in a retirement account now. For one thing, to the extent you can access the retirement account, usually you must pay penalties and taxes for making a withdrawal. For another, there may be hidden costs, such as a loan in repay-status, tied to that account. On the other hand, a future stream of income is usually more value, the present day value, than cash. It’s worth a meeting with a CPA or other specialist to have those accounts valued.
5. SHE CAN HAVE ALL OF THE HOME CONTENTS
The household furnishings and holiday decorations may seem insignificant to you, but agreeing to give your wife “all the home contents” or “whatever she wants out of the house” is like writing a blank check – for thousands. Think about it. The computers, televisions, china, entertainment systems, books, etc., all have a value. And that value really adds up. Don’t be afraid to have your home contents appraised so the value is taken into account in your overall property division. Otherwise, the divorce court is likely to assign no or a nominal value to those contents. Obtain the appraisal before you make the argument to your wife’s attorney or in court, though – most judges, and even some attorneys, will dismiss an argument that all of that stuff has value until they have an appraisal in hand.
TO BE CONTINUED...