When it comes to divorce, it can be challenging to valuate all the marital property and achieve an equitable property settlement. For high-earner couples facing a split, the challenges multiply when determining who gets what asset in divorce.
Country club memberships are prime examples of high-value assets where it can be difficult to achieve parity. Read on to learn why.
Club memberships are handled differently
It’s not prudent to haggle with a soon-to-be ex-spouse over a country club membership because their rules are clearly defined upon sign-up. One spouse is considered the member, and any spouses or minor children are associate members under the member’s account.
So while the spouses and kids can enjoy all the amenities of the country club, when divorces occur, the memberships remain with the original applicant.
Finding creative solutions for a membership’s value
Just because you are an associate member spouse does not mean that you are not owed the equivalent value of your share. Your job is to correctly valuate the membership and seek an equivalent marital asset to compensate for this loss.
Many benefits are derived from memberships
If you are like most country club members, your social calendar is likely full of events at or connected to the club. From golf and tennis tournaments to black-tie events and children’s activities, there are many benefits associated with a country club membership.
Also, don’t dismiss the business value of your share of the membership. Many business opportunities are discussed on the course and over drinks and dinner with other community members who can advance your career. These benefits may be hard to quantify, but should never be ignored.
How to get the most value from the membership
Depending on your stage in life, you may seek parity from other assets like vacation homes, stock portfolios and even retirement benefits. Your legal team can offer strategies that ensure you walk away from your marriage with all you need to begin your life anew after your divorce.