Financial Statements, Financial Affidavits & Financial Disclosure - Profit And Loss Statement
How to File a Divorce Financial Statement Financial Affidavit
In any divorce, a financial disclosure statement must be filled out, unless a waiver of financial statements was signed. The divorce financial statement form lists all assets and liabilities of each party and each must fill one out to share with the other person and the court. This personal financial statement is used to handle all issues concerning debt and property division, child and spousal support and family support. In most cases, child support guidelines have been established which determine the amount of child support which must be paid. Spousal support though is, in most cases, determined by the judge. He or she looks at the ability of the supporting spouse to pay along with the dependent spouse's need for this support.
The information disclosed on the financial statement for divorce must be accurate in order to ensure a fair division of assets and liabilities. If one or both spouses refuse to provide the necessary information, the court makes use of legal mechanisms to obtain any missing information. Spouses who do attempt to withhold information of this type often find that it backfires when the time comes to appear before the judge. For this reason, each party should list all sources of income as well as all expenses. Expenses range from credit cards and student loans to rent and mortgage. Medical bills should be included here along with gas, utilities and groceries.
Documents which may be requested for a financial affidavit to get a divorce include:
- Three months of pay check stubs
- Bank account statements
- Statements for military benefits and retirement accounts
- Inheritance trust documents
- Savings bonds
- The current value of any life insurance policies as well as the loan balance
- Two years of individual federal and state income tax returns
- Two years of business federal and state income tax returns
- Documentation of insurance costs, including medical, eye and dental
- Recent appraisals of real estate
- Real property deeds
- List of all vehicles, including recreational vehicles and boats
- Current credit card statements
- Public assistance
- Bankruptcy and discharge information
Each spouse will need to file the form of financial statement to ensure no area is missed. In addition to this paperwork, certain independent assessments may also be required. This includes appraisals of real estate, employer information on retirement accounts and other financial assets as well as appraisals of any personal property owned by each side. If information is not disclosed at the time of the divorce, but is later discovered, the spouse who withheld information will be liable for any resulting damages and penalties. Once this information has been disclosed, negotiations may take place to ensure each side receives their fair share.
The divorce financial statement form is of great importance. Ensure it is filled out correctly to avoid future liability. If you feel your spouse is withholding information on his or her form, be sure to let the court know this also. A divorce can be very contentious. The more up front both parties are during the process, the smoother the divorce will be.