On behalf of The Marks Law Firm, L.L.C. posted in Divorce on Friday, July 8, 2011
When a person divorces, they get one chance to get it right. So it’s very important to make sure that any financial settlement is fair because it’s certain to be final once the proceedings are over and the agreement signed.
Forbes columnist Jeff Landers urges all spouses to be actively involved in the management of marriage finances, so that if and when it comes time to divorce, that knowledge can protect a person’s interests.
If both parties know that the other understands the finances of their marriage, it may well leave a spouse hesitant when considering less-than-honest fiscal moves.
In the case of a divorce or impending divorce, many people will attempt to hide financial information, along with other things, from their spouse.
If bank statements stop showing up in the mailbox, a spouse should begin to worry. If it is a joint account, the spouse that is being left out in the cold should definitely inquire at their financial institutions.
If money is disappearing into overpayments to agencies such as the IRS, the spouse making the overpayments might be looking to hide assets and receive them as refunds in the future.
Landers says another warning sign that a spouse is trying to hide assets is a sudden drop in wages. That drop would make a spouse look like they are worth less than they actually are.
Landers also notes that a divorcing spouse with a business has many places to hide money. A sudden rise in the number of employees at their business or a drop in the number of the business’s clientele may point towards another hole where financial value is being hidden.
If you’re considering divorce from a business owner or someone else with substantial assets, it’s crucial that you get a complete picture of your spouse’s worth before agreeing to any settlement.
Source: Forbes.com: “Five Ways To Tell If Your Husband Is Hiding Assets” by Jeff Landers: June 28, 2011