When you divorce, you must divide your marital property. To do this, you need to submit a list of all that entails. A fair division will not be possible if something does not feature in the list.
There are two reasons an asset might not make it onto the list:
You both overlook it
Let’s say you are starting your list. You begin with the house, then your bank accounts and any investments. Yet, you may have old bank accounts or investments you have both forgotten about.
You might also overlook the things you have around the house. You remember the expensive sofa you bought earlier this year but forget to include the pile of paintings that sit unhung in the attic. If one of them is worth more than you realize, you could lose out or set yourself up for problems if you take it, and your spouse later realizes how much it is worth.
Your spouse hides it
Not everyone is honest when dividing property in a divorce. If your divorce is bitter, if your spouse is worried a court will award you a greater share or if your spouse believes they are more entitled, they may try to hide assets from you.
People hide assets in many ways. For example:
- Registering assets in the name of friends or family
- Moving money into accounts that they do not declare
- Moving it offshore or into cryptocurrency or hard to trace trusts
- Delaying receiving bonuses, they are due
- Overpaying tax then later reclaiming it
Getting a fair financial settlement when dividing property is crucial to building your new future. If you are unsure of your spouse’s honesty, consider legal help to ensure all is in order.