You and your soon-to-be ex-spouse may have an idea of how to divide your shared bank, retirement and brokerage accounts. Complex financial assets, however, could require a forensic discovery process to reveal them during your divorce.
As reported by Kiplinger’s Personal Finance, undisclosed assets may include an employee’s deferred compensation plan and virtual currencies. Executives, for example, may have a right to exercise stock options that vest in the future.
How may a divorce settlement include deferred compensation?
Employers offering restricted stock options typically require an employee to work for them for a certain length of time before he or she can vest. For example, after five years of receiving favorable performance reviews, a fully vested executive may have the right to purchase the company’s stock at less than its current market price.
If your spouse exercises his or her stock options or plans to do so in the future, you may receive a fair portion of their current market value. In the event your spouse does not wish to sell them, however, you may negotiate taking ownership of other shared assets with the same value.
How may the court know if a spouse invested in virtual currencies?
As explained on GoBankingRates.com, virtual currencies may require proof of their existence, and a subpoena may uncover a hard drive or digital wallets used for crypto transactions. Records and statements from companies that facilitate crypto trading transactions may also receive a subpoena.
At least 15 million individuals reportedly have a position with a company that offers a deferred compensation plan. A survey conducted by a crypto exchange company also revealed that approximately 21.2 million adults in the U.S. own virtual currencies. Disclosing these valuable financial assets through a discovery process may result in a settlement that provides for you and your family’s needs.