Protecting Inherited Wealth During Family Law Disputes

Inherited wealth can go a long way toward securing your financial future—unfortunately, family disputes, particularly those involving divorce, can jeopardize that safety. Our family law lawyers here at Sanvenero & Cittadino Attorneys at Law have helped numerous clients navigate the issues surrounding inheritance, as the higher the money at stake, the more contentious these disputes can become.

Whether you received your inherited wealth before or after your marriage, let us help you protect your assets under New Jersey law to secure your future and maintain what is rightfully yours.

What Determines If Your Inheritance Is Marital Property?

New Jersey law typically classifies inherited wealth as separate property—in other words, you generally will not need to divide its value between you and your spouse during divorce proceedings. However, if you deposited the inherited funds into a joint account shared with your spouse or if you used inheritance money to pay for marital expenses, you may have turned the inheritance into marital property and, therefore, made it eligible for division. Keep your inheritance separate from your marital assets and avoid co-mingling funds.

How Can a Prenuptial or Postnuptial Agreement Protect Your Inheritance?

A prenuptial or postnuptial agreement can help you proactively safeguard your inheritance, as they clearly define both marital and nonmarital assets in the event of a divorce. If your agreements address the matter of inherited funds, you will reduce the risk of litigation and disputes—or have a stronger legal foundation when a dispute does arise.

What Role Does Proper Documentation Play?

Any wills or trust documents that show the source of your inheritance, any ledger that tracks how you use the funds, and any legal agreements that you made with your spouse and other interested parties will help you clear up any ambiguity and lessen the likelihood of disputes.

How Does Estate Planning Minimize Family Disputes Over Inheritance?

If you need to consider how your family will manage your fortune after your passing, clearly outlining your wishes via estate planning will help minimize inheritance-related family disputes. Consider using a trust to safeguard your intended inheritance: this is a legal entity that holds and manages the assets according to your instructions, preventing the inheritance from becoming marital property during a divorce.

Additionally, designating a beneficiary to distribute your inheritance according to your will can ensure that someone you know will have full oversight over your affairs after you pass. Trusts and designated beneficiaries can help ensure that your assets will follow your intended path and protect them from potential family disagreements.

Protect Your Future With the Red Bank Divorce Lawyers at Sanvenero & Cittadino Attorneys at Law

Disputes over inherited wealth, especially during a divorce, can cause an unprecedented amount of emotional stress and financial strain. Trust the Red Bank divorce lawyers at Sanvenero & Cittadino Attorneys at Law to guide you through the divorce process. Call us today at 732-743-9665 or fill out our online form for a free consultation. Our office is located in Red Bank, New Jersey, and serves clients in Monmouth County, Middlesex County, and Ocean County.