When going through a divorce, there is often more paperwork than people expect. One of the most critical documents is your statement of net worth. In New York, this document is more than a dozen pages long and filled with daunting legal jargon. The good news is that an experienced divorce lawyer can assist in filling out the form correctly.
How the Statement of Net Worth Impacts Your Divorce
It’s important for your attorney to have a full accounting of your family’s financial situation to represent you in court and protect your legal rights during the divorce proceedings. The court also needs a complete listing of all property and assets owned by one or both parties.
Essentially, the net worth statement provides a snapshot of your financial situation and a look at what each spouse owns. Information in the statement specifically impacts major elements of the divorce, such as:
- Child support
- Distribution of marital assets
Providing an accurate statement isn’t just critical for the divorce proceedings to move forward smoothly, but also to protect yourself legally. As a sworn statement signed by a notary, it must be truthful or you could face legal repercussions. The statement must correctly cover all incoming and outgoing funds, so be sure to tell your attorney about all liabilities, debts, and monthly expenditures.
A statement of net worth needs to specifically include:
- Accounts, investments, and stock portfolios
- Debts and loans
- Childcare expenses
- Costs for entertainment and recreation activities
- Healthcare expenditures
- Household repair costs
- Physical assets with value like art, jewelry, or collectibles
- Real estate
- Tax returns for recent years
- Typical monthly expenses like insurance, house payment, phone, and utilities
During the divorce process, you will also receive a copy of the other party’s net worth documents, which should be gone over carefully with your attorney to ensure your soon-to-be-ex isn’t hiding any assets.
Get Help From a New York Divorce and Family Law Attorney
Are you considering a divorce or are going through the process now and aren’t sure what to do next? Contact Alatsas Law Firm to discuss your situation, find out how to properly fill out a statement of net worth, and use it to budget for financial success after the divorce is finalized.