When you are gathering financial records for a divorce, comprehensive information is essential. The financial affidavits required by the court system are legal documents and accuracy is key. In some divorce cases, a forensic accountant is a beneficial investment.
Here are a few situations when a forensic accountant can help.
You have a lot of assets
When you and your spouse have a lot of assets, accounting for everything has its challenges. You might overlook an account or miss an asset. A forensic accountant evaluates all of those accounts and ensures accuracy. Hiding assets is easier than you think, but a forensic accountant knows how to follow money trails to locate potentially hidden accounts.
You have significant debts
When your marital accounts include substantial debts, including mortgages and lines of credit, a forensic accountant can evaluate those balances and allocate responsibility for each of you. This ensures fair distribution of liabilities and clear calculations of each account’s outstanding balances.
You have trust issues with your spouse
Any time you suspect that your spouse is dishonest, hiding assets or trying to leave you with an unfair amount of debt, a forensic accountant is beneficial. Forensic accountants know how to dig through accounting records, bank transactions and property deeds to find assets that do not appear on the disclosure forms.
Keeping both parties honest and ensuring fair, equitable distributions of assets and liabilities ensures a more peaceful divorce settlement process. A forensic accountant serves as an independent third party who gathers information and ensures the accuracy of financial records.