Settling property division matters can easily be the most challenging component of an Indiana divorce. Spouses may disagree about what assets are worth and how to split them in a fair manner. They may spend months negotiating after financial disclosures, and if they cannot settle, then the matter may require litigation to resolve.
Higher-income individuals with more complex marital estates generally have more opportunities for conflict than those with limited property to divide. Complex assets can be more challenging to address than straightforward personal property and basic bank accounts.
For example, one of the spouses might have an employment contract that makes them eligible for a valuable deferred compensation package. Pay that they have not yet received could require special consideration as they negotiate a settlement or prepare for trial.
Valuing deferred compensation is difficult
Establishing the fair market value of marital resources becomes more challenging as the marital estate grows in size and complexity. Deferred compensation may include performance-based bonuses or stock options for companies that have not yet had an IPO.
As such, spouses may find it difficult to accurately predict what deferred compensation is truly worth. Additionally, finding reasonable ways to balance the value of that deferred compensation with other property can also prove challenging. Spouses obviously cannot divide pay or stock options that one spouse has yet to receive from their employer, which means that alternate arrangements are necessary to integrate deferred compensation into a property division settlement.
Identifying resources that can cause property division disputes and valuation disagreements early on can lead to a smoother overall process. Spouses preparing for high-asset Indiana divorces may need assistance pursuing a fair outcome, and that’s okay. Speaking with a skilled legal team is a good way to get started.