What clients can learn from the Jolie-Pitt split

For more than a decade, Angelina Jolie and Brad Pitt have been a glamorous, globe-trotting Hollywood power couple — and now they’re divorcing.

With six children, homes in the U.S. and France, and the philanthropic Jolie-Pitt Foundation, the pair has much at stake. They became a couple in 2004 but married two years ago — which could further complicate the divorce that Jolie Pitt filed for Monday, and put the future of all they’ve shared in the hands of teams of lawyers and accountants.

In light of the news, help your clients understand the implications a divorce would have in their own lives. If they’re not married yet, help them write a prenup. If they’re already married, help them understand custody laws.

Read: Why advisors should get personal with divorcing clients

Dividing assets

Under California law, only assets acquired during their marriage must be split equally, said Los Angeles divorce attorney Peter Walzer. Forbes magazine estimates Jolie Pitt and her husband earned a combined US$555 million since their relationship began, with pre-tax earnings of US$117.5 million since their 2014 marriage.

If Jolie Pitt and Pitt haven’t already spelled out who owned what prior to their marriage, a divorce judge won’t have authority to help them work it out. Jolie Pitt’s filing did not indicate whether the couple has a prenuptial agreement.

“The rules are really unclear when you don’t get married and you don’t have a written partnership agreement,” said Walzer, who is vice-president of the American Academy of Matrimonial Lawyers.

Read: Financial planners can help craft better divorce settlements

Custody

For now, Jolie Pitt and Pitt’s immediate concern, as evidenced by statements each of them issued Tuesday, appears to be their six children, who range in age from 8 to 15. Jolie Pitt is seeking sole physical custody, with Pitt having visitation.

Any custody agreement they reach in Los Angeles would continue to be enforceable overseas, and would spell out where the holidays will be celebrated and how Jolie Pitt and Pitt will make decisions about the children’s medical care and education.

Read: Help clients figure out when child support ends

“You don’t split the kids the way you do bank accounts,” said Mike Kretzmer, a Los Angeles divorce lawyer who has handled numerous celebrity divorces and specializes in complex custody cases. He said Jolie Pitt and Pitt, along with their lawyers, are going to have to come up with a workable parenting plan.

“It doesn’t matter whether you’ve got 10 cents or $10 billion, this can be a really painful process for everyone involved,” he said.

Philanthropy

In addition to their children, a major part of the actors’ identities has been their philanthropy.

What becomes of their Jolie-Pitt Foundation, which the couple founded in 2006, will also be an issue.

Read: Help clients manage through divorce

The pair did not address what would happen to the foundation in their statements, and a phone message left at a number associated with the Jolie-Pitt Foundation was not returned Tuesday.

A tax document filed in November showed the foundation had about $4.5 million in assets in 2014. Jolie and Pitt contributed $613,000 to the foundation that year, and the foundation paid out a variety of grants, including for wildlife conservation in Namibia, arts programs in Sarajevo, and a variety of projects in Cambodia.

Walzer said deciding the foundation’s fate would be similar to couples who own a business together, and a lot depends on how well Jolie Pitt and Pitt can work together now.