Tag Archive for: asset division

Navigating Divorce and Social Media

Navigating divorce in today’s digital age of social media might seem impossible. But when it comes to your divorce, social media posting should be temporarily avoided.

Social media has seamlessly integrated into our daily lives, offering a platform for reconnecting with old friends and sharing life’s milestones.

Startling statistics underline the pivotal role that social media plays in divorce proceedings. Astonishingly, 81 percent of divorce attorneys report that spouses actively scour the internet in search of evidence to bolster their claims during divorce cases.

In this blog, we’ll explore some essential tips for managing your online presence during a divorce. We’ll also discuss how a divorce attorney can assist you in handling the complexities of divorce in the digital age. So, let’s dive into what you need to know about divorce and social media today.

Privacy Matters

Having everything at our fingertips can be a great advantage, and social media offers various options to control who can see your posts, photos, and personal information. Unfortunately, Social media usage has had a significant effect when it comes to relationships ending in divorce.

When a marriage does break down, information posted on social media can increasingly become a factor in divorce proceedings. A recent survey found:

  • 33% of divorce cases result from online affairs.
  • 66% of cases involved evidence found on Facebook or other social networks.

If you are going through a divorce, reviewing and adjusting your privacy settings to limit access to your profile is crucial. Emotional posts or comments made in the heat of the moment can quickly escalate conflicts and complicate divorce proceedings. Remember that anything you post online can be used as evidence in court, so use caution and avoid venting your frustrations on social media. By doing so, you can maintain control over your personal life and contribute to a smoother divorce process.

Avoid Sharing Financial Details Online

In the divorce process, you must provide comprehensive financial information. This includes income earned, real estate purchased, and investments made during the marriage. However, some things are separate property. These are things you owned before you got married or got as gifts or inheritances during your marriage.

It’s important to know the difference between marital and separate property to confirm everything’s divided fairly in your divorce. It’s important to recognize that your social media activity can be used to challenge the accuracy of the financial information you’ve disclosed. This can significantly impact the division of marital property. A divorce attorney with experience can guide you through this process and protect your rights.

Don’t Overshare Support Obligations

Suppose you anticipate paying or receiving spousal or child support (alimony). In that case, these payments are usually determined based on the income earned by both you and your ex-spouse. What you share online can be used to scrutinize the income you claim or the income you should realistically earn. Courts may use your online presence as evidence to establish your financial capacity accurately.

It’s advisable to prioritize constructive communication during this time and address sensitive issues in private rather than airing them on social media platforms. Seeking advice from a family law attorney is highly recommended when addressing support obligations. An experienced attorney can help you understand your rights and obligations, negotiate fair terms, and represent your interests in court if necessary.

Work With A Divorce Attorney

Navigating divorce and social media might seem difficult. At Masters Law Group, our experienced family law attorneys are here to provide valuable assistance, helping to ensure that your rights and best interests remain at the forefront of every decision. Here’s how a divorce attorney can help you effectively handle social media during divorce:

  • Parenting Time: If you have children, it’s essential to work closely with your attorney to determine the most suitable arrangements for child custody and visitation. We aim to help create arrangements prioritizing your children’s well-being and best interests.
  • Mediation and Alternative Dispute Resolution: We encourage exploring options like mediation and collaborative divorce, which can facilitate mutually beneficial agreements outside the courtroom. Our family law attorneys will skillfully guide you through these processes, representing your interests and helping you secure a smoother negotiation experience.
  • Post-Divorce Modifications: Life can bring unexpected changes even after the divorce is finalized. Circumstances may arise that require modifications to parental responsibilities, visitation, or support arrangements. Our attorneys are here to assist you in addressing these changes promptly and effectively, protecting your rights and the interests of your children.

Final Thoughts

Divorce is undoubtedly a challenging life transition, and social media can either exacerbate or alleviate its emotional toll. By carefully managing your online presence, you can minimize potential conflicts and maintain your dignity during this trying time. 

You don’t have to go alone if you’re considering a divorce, legal separation, or mediation services in Illinois. Our dedicated attorneys are ready to skillfully advocate for your position and provide your voice when needed. Servicing Cook, Will, Lake, and Dupage counties, our attorneys can help you through the process every step of the way.

Contact us today to schedule a complimentary consultation and learn how we can support you through your divorce.

Alimony and Asset Division in Divorce

As couples navigate the challenging path of divorce, alimony and asset division are critical aspects that demand attention. But divorce laws differ by state. Here’s what you need to know about divorce proceedings and asset division in the state of Illinois. 

Asset division plays a significant role in determining the financial future of both parties involved. In this blog, we will explore the concepts of alimony and asset division in divorce, shedding light on how they work and what factors influence their outcomes. Here’s what you should know.

Alimony: Providing Financial Support

Alimony is a financial arrangement where one spouse provides financial support to the other after a divorce or separation. Its primary goal is to help financially disadvantaged spouses maintain a standard of living to what they enjoyed during the marriage. Alimony can be temporary or permanent, depending on various factors. Here’s a look at some of the factors that are considered:

  • Income Disparity: The most critical factor in determining alimony is the income disparity. If one spouse earns significantly more than the other, they may be required to provide financial support.
  • Duration of Marriage: Longer marriages often result in higher alimony awards. The courts typically consider the marriage’s impact on the dependent spouse’s career and financial prospects.
  • Contributions to the Marriage: Courts also consider the contributions of each spouse to the marriage, both financial and non-financial. This includes homemaking, childcare, and support for the other spouse’s career.
  • Parental Agreements: Parental responsibilities are arrangements that can affect alimony, as the custodial parent may receive more support due to increased expenses related to raising children.

Asset Division: Splitting the Marital Pie

Asset division involves dividing the marital property and debts between spouses fairly and equitably. It’s essential to understand that the goal is not necessarily to divide everything equally but rather fairly, considering the unique circumstances of the marriage. Determining a fair and equitable division of assets can be intricate and contentious, especially when significant assets are involved. Here are some factors that influence asset division:

  • Property Ownership: Marital property typically includes assets acquired during the marriage, such as homes, cars, bank accounts, and investments. These are subject to division. Separate property, acquired before the marriage or through inheritance, is generally exempt.
  • Duration of Marriage: The length of the marriage can impact asset division. Longer marriages often result in a more equitable division of assets.
  • Custodial Arrangements: Parental responsibilities can influence asset division as they affect the financial responsibilities of each spouse towards their children.
  • Future Needs: The court also considers the future financial needs of each spouse. For example, if one spouse is financially dependent and unable to support themselves, they may receive a more significant share of assets.

Marital Vs. Separate Property

In the context of divorce, understanding the distinction between marital and separate property is key. The marital property encompasses assets acquired during the marriage, regardless of which spouse’s name is on the title. This includes income earned, real estate purchased, and investments made during the marriage. Marital property is generally subject to division between the spouses during divorce proceedings.

In contrast, the separate property comprises assets acquired before the marriage or received as gifts or inheritances during the marriage but designated as separate. These assets typically remain with the individual who owns them and are not subject to division. Recognizing and understanding the differences between the two is crucial for a fair and equitable distribution of assets during the divorce process. Working alongside a seasoned family law attorney can help you protect your rights and interests.

Illinois Asset Division

When couples get a divorce in Illinois, the courts don’t split everything down the middle like in certain other states. Instead, Illinois follows a more intricate approach called “equitable distribution.” Here’s how it works:

  1. Contribution to the Marriage: The court looks at what each spouse brought to the marriage, both in terms of money and non-money contributions like taking care of the home or children.
  2. Duration of the Marriage: How long the marriage lasted matters, as it can affect how assets are divided.
  3. Economic Circumstances: Each spouse’s financial situation, including income and needs, is considered.
  4. Non-Marital Property: Things owned before marriage or received as gifts or inheritance during marriage may not be split.
  5. Custodial Arrangements: If there are kids, the court looks at custody and how it impacts finances.
  6. Spousal Support (Alimony): Whether one spouse needs support payments is factored in.
  7. Tax Consequences: Taxes resulting from asset division are also considered to make things fair.
  8. Wasteful Dissipation: If one spouse recklessly spends or wastes money, it can affect the division.
  9. Future Needs: The court thinks about what each person will need down the road, especially if one is in a tougher spot after the divorce.
  10. Agreements: Any agreements made before or during the marriage, like prenups, are taken into account if they meet legal standards.

Remember, “equitable distribution” doesn’t always mean a perfect 50/50 split. It’s about creating a fair and just arrangement based on each family’s unique situation. This process can be tricky, so it’s a good idea to work with a skilled family law attorney to help ensure your rights are protected during asset division in Illinois.

How a Divorce Attorney Can Help

Divorce is a complex and emotionally charged journey that often requires the guidance of seasoned family law professionals. At Masters Law Group, our experienced family law attorneys are here to provide valuable assistance, helping to ensure that your rights and the best interests of your children remain at the forefront of every decision. Here are some crucial areas where we can help guide you:

  • Parenting Time: If you have children, it’s essential to work closely with your attorney to determine the most suitable arrangements for child custody and visitation. We aim to help create arrangements prioritizing your children’s well-being and best interests.
  • Mediation and Alternative Dispute Resolution: We encourage exploring options like mediation and collaborative divorce, which can facilitate mutually beneficial agreements outside the courtroom. Our family law attorneys will skillfully guide you through these processes, representing your interests, and helping to secure a smoother negotiation experience.
  • Post-Divorce Modifications: Life can bring unexpected changes even after the divorce is finalized. Circumstances may arise that require modifications to parental responsibilities, visitation, or support arrangements. Our attorneys are here to assist you in addressing these changes promptly and effectively, safeguarding your rights and the interests of your children.

Remember, family law professionals are your allies during this challenging time. By collaborating with a trusted family law attorney, you can confidently navigate the complexities of divorce and reduce the stress associated with the process. Your rights and the well-being of your family are our top priorities.

Last Thoughts

Understanding what alimony and asset division entails can help you in the long run regarding divorce proceedings. At Masters Law Group, you can rest assured knowing you are consulting with trusted and experienced legal professionals. Our family law attorneys can help protect your rights and interests during this challenging time. 

With a focus on helping clients residing in the Cook, Will, Lake, and Dupage counties, our practice is committed to providing a comprehensive suite of services to support parents, children, and families during challenging periods like divorce.

Get in touch with us today and schedule your complimentary consultation.

The Era of Cryptocurrency Divorce

Cryptocurrency divorce is a new phenomenon sweeping the nation and the globe. If you are facing these unchartered waters, an experienced family law attorney is a must.

The rise of the cryptocurrency market has seen exponential growth, which has led to the less navigated world of cryptocurrency divorce.

Crypto assets are notoriously difficult to trace and control, and the legal landscape surrounding cryptocurrencies is still full of gray areas, making them complex to handle in divorce proceedings. At Masters Law Group, we understand the complexities of uncovering hidden assets, such as cryptocurrencies.

In this blog, we’ll walk you through everything you need about crypto assets in divorce cases to ensure a fair settlement. Here’s what you should know.

Understanding Cryptocurrency 

Cryptocurrency, a form of digital currency, utilizes cryptographic technology to secure transactions and verify the transfer of assets. Initially attractive for its anonymous transactions, it has evolved to become widely used for everyday purposes such as bill payments and online purchases. According to a recent NBC News poll, approximately 20% of Americans have engaged in cryptocurrency investments, trading, or usage, showcasing its growing presence in the financial landscape. Notably, the demographic group with the highest participation comprises men aged 18 to 49.

While Bitcoin remains the most well-known cryptocurrency, the market has seen the rise of other digital currencies, such as:

These alternatives have gained popularity due to their unique features and potential for diverse applications beyond financial transactions. As the world becomes more familiar with cryptocurrency and its benefits, its integration into various aspects of daily life will likely continue expanding. Let’s look at how crypto affects divorces across the United States.

Why Cryptocurrencies Matter in Divorce

Cryptocurrencies have emerged as a noteworthy factor in financial settlements during divorce proceedings. However, with the rising popularity and widespread adoption of cryptocurrencies, more divorce cases involve these digital assets. CNBC recently reported that in 2023, crypto played a significant percentage in divorces that ranged from 20% to 50%.

As the landscape of financial assets evolves, it becomes essential for divorcing couples and their legal representatives to stay informed about cryptocurrencies and their implications in the division of assets. Failure to address these digital assets adequately during divorce proceedings may lead to complications and disagreements in determining fair settlements.

Cryptocurrencies’ decentralized nature and relative anonymity can make it challenging to track and value them accurately, complicating the delicate process of dividing marital property. Additionally, sudden price fluctuations in the cryptocurrency market can significantly affect the overall value of a couple’s assets, further complicating matters.

Asset Division In Illinois

If you suspect that your spouse may be concealing cryptocurrency assets, there are steps you can take to investigate the matter thoroughly. In divorce proceedings, fully and honestly disclosing all assets, including cryptocurrencies, is crucial. In Illinois, dividing cryptocurrency assets follows a similar process as any other marital property.

Illinois does not adhere to the community property principle. Instead, the court will distribute assets purchased, converted, or appraised during the marriage in an equitable manner. It is important to understand that equitable does not necessarily mean equal; various factors are taken into account in determining the distribution, including:

  • Age, health, and financial circumstances of each spouse.
  • Contributions made to the marital estate.
  • Obligations related to previous marriages, as ordered by the court.
  • Considerations regarding child custody.
  • Pre and post-nuptial agreements.
  • Tax implications.
  • Duration of the marriage.
  • Alimony arrangements.

If you ever find yourself uncertain about the ownership of assets, seeking legal counsel promptly is advisable to avoid any confusion or ambiguity.

Agreements on Dividing Crypto Assets

Dividing crypto in divorce cases can be challenging due to their fluctuating value. However, with careful consideration, the process can be made relatively straightforward. Here are some approaches to handle it:

  1. Simple Division: One party receives a portion of the cryptocurrency as it is at the time of the divorce.
  2. Custodial Holding: A third-party custodian receives and holds the share of cryptocurrency until the divorce is finalized.
  3. Cryptocurrency Owner Liquidation: The asset owner converts the other party’s share into cash based on the digital currency’s value on the day of the sale.
  4. Liquidation With No Claim Upon Remaining Cryptocurrency: Similar to option #3, both parties agree that the original owner retains full title to the remaining cryptocurrency.

It’s important to note that there are no loopholes in divorce proceedings concerning cryptocurrency. While courts are familiar with handling the volatility of traditional assets, cryptocurrency introduces a new level of complexity.

Work With Masters Law Group

Navigating the complexities of cryptocurrency asset division during a divorce in Illinois can be overwhelming. At Masters Law Group, we understand the intricacies involved and are here to assist you every step of the way. Our skilled attorneys, serving communities across Chicago and the suburbs of Elmhurst, Hinsdale, DuPage, and Oakbrook, offer experience and insights into the world of the crypto divorce and can help you navigate this complex process.

Whether you have inquiries about divorce proceedings or require guidance on discovering digital assets and asset division, we are ready to provide answers and support.

Contact us today to schedule a complimentary consultation and learn how we can support you through your crypto divorce.

How is Cryptocurrency Divided in Divorce?

Cryptocurrency is an asset like any other kind of asset, and as a result, it may be considered separate property or marital property. What many people do not understand is exactly how complicated this can become. 

Cryptocurrency is a type of code or software that dictates how a unit of currency is produced and regulated.  Essentially, the creator of the cryptocurrency makes the units using an algorithm that relies on cryptography to secure the currency. The most common cryptocurrency, and the first of its kind, is Bitcoin, but there are thousands of other types that can be purchased or earned.

Despite Bitcoin and Crypto prices being extremely volatile, (the recent Crypto crash being a prime example), cryptocurrency is gaining in popularity and becoming a more and more common asset seen in divorce cases.

Crypto and Divorce Trend

Cryptocurrency has gone from an obscure hobby to a significant investment for many people across the country. As crypto assets like bitcoin rose dramatically in price, many investors became wealthy, especially those who entered the crypto market in the early days. However, cryptocurrency can also add new complications to a divorce, particularly when it comes to dividing assets between divorcing spouses.

Here’s a look at some commonly asked questions about cryptocurrency assets in a divorce.

Q: What is Cryptocurrency and is it Considered Marital Property?

A: Bitcoin is a cryptocurrency that allows secure transactions on the internet without having to go through a bank. Bitcoins can be exchanged or traded for other currency, products, or services and have increased in use since their creation in 2008. With this increase comes new challenges in a divorce when it comes to dividing up assets.

Cryptocurrency is considered an asset and as a result, it may be considered separate property or marital property. In some cases, growth in the value of cryptocurrency during the marriage may be considered a marital asset, even if the original purchase took place before the marriage. 

This is especially true when both spouses were involved in using cryptocurrency, investing in crypto assets, or planning to rely on crypto to fund future financial ventures. If you’re a crypto investor considering divorce, you should always consult with your lawyer about how you can expect your investments to be affected by the separation.

Q: Can You Lose Bitcoin in a Divorce?

A: Bitcoins are treated the same as any other asset in a divorce. If the bitcoin transaction was before the marriage, was given as a gift or through an inheritance, it is not marital property and cannot be divided. Therefore, if the transaction was during the marriage, it is marital property and can be divided.

When bitcoins are considered marital property, the easiest way to divide them is to split the determined value 50/50. Since most bitcoins can be cashed out in full, splitting the value 50/50 means each spouse would simply get half.

Another way to divide bitcoins is by negotiating other marital property in exchange. This means, if the spouse with the bitcoins wants to keep them, they can give up other marital property with the same determined value to the other spouse.

Q: Can Cryptocurrency Be Used to Hide Assets During Divorce?

A: A misinformation gap can easily arise especially when only one partner is involved in the crypto market and the other spouse has little knowledge on the aspects of crypto investments. This gap can lead to one partner not knowing what to look for when it comes to uncovering crypto holdings in the asset division process. 

The growing awareness of cryptocurrency technology has led to more divorce attorneys thinking about how to deal with crypto as a way of hiding assets. In some cases, a spouse may suspect the other party has undisclosed crypto holdings, while in other cases, they may notice that the other spouse suddenly seems to have a source of funds that is not tied to their existing employment or investments.

There are several ways that cryptocurrency assets may be discovered. The best-known and easiest to uncover are bitcoin and ethereum. Other cryptocurrencies may offer higher levels of anonymity. Those assets are much less valuable and more volatile than the better-known digital currencies. A forensic expert typically brought in by the parties, may search for cryptocurrency tickers, login credentials for exchanges, or keys for certain types of digital wallets.

Bank statements, credit card statements, and other financial documents may indicate transactions for crypto purchases from various exchanges.

Final Thoughts

During a marriage, it’s important for both partners to have an understanding of their marital income, and investments. With greater knowledge about finances shared between spouses, it can be far more difficult for one person to hide assets during a divorce. 

If you are concerned about how your or your spouse’s cryptocurrency assets could affect your divorce or the asset division process, Masters Law Group can help. Our team of highly trained and experienced family law attorneys are here to answer your questions about divorce and digital asset division.

Contact us today for more information, or to schedule a consultation.