Visualizing the Potential Benefits of Alternative Dispute Resolution in Divorce

Comments

Post a Comment

Popular posts from this blog

Free Financial Planning: My Response to COVID-19

I am waiving all my hourly financial planning fees, effective immediately, to help anyone, anywhere in the country.  In these times when so many Americans are feeling both emotional and financial stress, everyone should have access to someone with a financial planning and financial therapy background without fretting over the fee. I am here to help on a voluntary basis. Based on my research, expertise, and experience, I have been predicting a major market disruption for some time (although I did not expect it to be a pandemic). As a result, we have been allocated primarily to strategies that provide steady cash flow while simultaneously insulating from even severe market losses. Consequently, I am not at all frantic at this time. The only calls I have received are from folks whose accounts I do not manage seeking what my research is showing and a game plan moving forward. Many people are distraught over what has happened to their investments, what risks lie ahead, and what they ...
Read more

Stock Options, Executive Compensation, and Divorce

By Greg Gann   One of the most lucrative forms of compensation for corporate officers, managers, and other executives comes in the form of stock options and rights to restricted stock. The four most critical issues for executives awarded these financial instruments who divorce is whether these perks were marital, vested, a determination as to how they will be valued, and how will the tax considerations be handled. A stock option is simply the right to purchase a stock at some future date at a stipulated price that is determined and offered in the present. If a stock option provides the right for the employee to purchase the stock at a stipulated strike price, say $50 per share at an assigned date in the future, this creates a significant economic windfall to the employee, if at the time of time of eligibility or vesting, the stock is trading at a price significantly above the strike price, say $100 per share. It should be evident that such forms of executive compensat...
Read more

Structuring Divorce Settlements to Benefit College Funding

  Any college or university that awards federal student aid must require applicants to complete the Free Application for Student Aid (FAFSA). There is a relatively small number of institutions that may require an additional aid form known as the CSS Profile. While married, the incomes for both spouses are factored into determining eligibility. However, if the parents are legally separated or if they live in separate households as if they were unmarried, then only the income of the parent with whom the student lived the greatest number of overnights over the past 12 months is considered for purposes of FAFSA eligibility. Furthermore, certain assets are given preferential treatment and are not counted when determining FAFSA eligibility. Examples of assets that are not counted include a family-owned small business, home equity, life insurance cash value, as well as IRA accounts and qualified retirement plans such as 401ks and 403bs. However, contributions made to an IRA ...
Read more