Divorce can present many challenges for anyone leaving a marriage in California. Untying the knot can be especially burdensome for women with investments and other assets they wish to protect. Once the decision to divorce has been made, women are often advised to gather important pieces of information before settlement discussions begin.
Tax returns are definitely one of these important documents. It's typically recommended that a divorcing woman obtain two to three years' worth of recent tax records, including related 1099s or W-2s. Accessing tax information related to a privately held business a woman may own is sometimes difficult, but these details can be important if personal expenses are handled through company accounts.
The purpose of a lifestyle analysis is to improve a woman's understanding of pre-divorce and post-divorce expenses. This process can be made easier with online tools that collect data from available financial accounts to produce a list of all expenses on file. Another method of accomplishing the same goal is for a divorcing woman to gather a few years of monthly bank and credit statements so that prior spending patterns can be identified and verified. Also, a financial affidavit will need to be presenting to the court to determine each spouse's current financial situation. A net worth statement, which includes a tally of assets and liabilities, can be used to make this affidavit more accurate. Details from investment, banking and savings accounts and employer-sponsored retirement plans should also be included.
With a high-asset divorce, a family law attorney may bring in an accountant or similar financial experts to help identify all marital assets. Even if there aren't significant assets involved with the end of a marriage, a lawyer may recommend that a divorcing client obtain a recent credit report. This information is often used to address existing joint debt obligations when negotiating the settlement agreement.