Business Owner Questions

captainchippsixx · 2023-11-19T23:04:46+00:00

Move fast and legally. Don’t waste time asking us. Get a lawyer and finance attorney.

pk2at · 2023-11-20T15:22:28+00:00

You'll have to give more detail here on what type of assets, $$ value of assets, which state and who has current ownership. If you have a business, an S-Corp is one way to shield assets, but definitely not the best. There are plenty of options from offshore LLC, showing larger debt, incorporating in another state etc.

Your lawyer will provide ZERO help in this matter. You need to contact an asset protection professional or do your own research

Objective-Fan-5464 · 2023-11-21T21:25:47+00:00

Without a prenup and with a business started during the marriage, it’s likely that the business will be considered marital property, and your wife may be entitled to up to a 50% stake in it upon divorce. You may need to have the business professionally valued and be prepared to buy out your wife's share or negotiate with other assets.

If your business is an LLC, you might consider converting to an S Corporation and hiring yourself as an employee, which can provide tax benefits despite the employer taxes on your salary. This move can help establish a clear income for support calculations. Also, setting up a qualified retirement plan like a 401(k) through your business allows for significant contributions ($50k+), which can be a tax-efficient way to reduce liquid assets.

So, convert to S-corp, hire yourself as an employee, pay yourself a huge salary, set up a 401k and contribute maximum, run all expenses through the LLC to reduce net income, and consult with professionals.

Title	Business Owner Questions
Author	WiseMute
Upvotes	6
Comments	5
Date	November 19, 2023 7:47 PM UTC (2 years ago)
Subreddit	Posted in /r/Divorce_Men
Original Link	https://old.reddit.com/r/Divorce_Men/comments/17z5707/business_owner_questions/
Archive Link	https://theredarchive.com/r/Divorce_Men/business-owner-questions.1238865 https://theredarchive.com/post/1238865

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