Ending a marriage is a serious endeavor, and various factors can play into the outcomes of the legal process. In particular, the type of income and other compensation that a person generates through his or her employment could have an impact on the property division aspects of divorce. Therefore, it is important that Utah residents assess their compensation structure.
If individuals simply receive a regular salary and do not have bonuses, stock options, commissions or other similar financial benefits, their income may not complicate property division. However, if a person works in a position where he or she may obtain a significant commission on a sale or other deal, it is possible that the person will not want that commission to become marital property that could be divided with a soon-to-be ex. As a result, the person may want to get the divorce underway before earning the commission.
Another example is if a person received a prepaid bonus that has a clawback provision. A clawback provision means that the money could be recovered by the company under certain circumstances, such as if an employee left the company early. It is possible that the bonus could be considered a marital asset that could be divided, but it is important that there are stipulations included that detail when the other party may have to return the money should the clawback provision be enforced.
Many minute details of a person’s finances and other asset-related aspects can have major impacts on divorce and property division outcomes. It can be difficult to understand when certain compensation factors could be more important to assets than others. Fortunately, Utah residents can work with experienced attorneys who can help assess these details.