Understanding the financial side of a marriage has a tendency to be delegated to one spouse or the other. While this may seem efficient during a marriage in order for household duties to be divided, one spouse may find him- or herself at a disadvantage should the couple decide to separate. Not understanding where certain money goes or how much specific income each partner generates could lead to a party being taken advantage of when it comes to property division.
When divorce is on the horizon, some Pennsylvania spouses may begin an effort to hide certain assets in order for them to be off the table during divorce proceedings. If this occurs, one spouse may end up with less than they may have been entitled to had all the assets and specific income been properly disclosed. Therefore, it is important for parties to be on the lookout for signs indicating that a spouse who owns a business may be holding back.
A person may state that the income a business has been generating has significantly declined, but a sign that this may not be entirely truthful could be a continued up-keep of lavish lifestyle choices. Another signal that could indicate that money may not be properly reported is if the business supposedly began to see trouble soon after or along with the decline in a marital relationship. These are just a couple of the ways that a spouse may be able to pick up on less than truthful accounts from a partner.
As always, hard copies of financial records could be greatly beneficial when it comes to ensuring that income and assets are being disclosed during property division and other divorce proceedings. Legal assistance may be needed to procure those documents and have them be admissible in a court setting should proceedings require outside representation. Information on divorce laws regarding how to deal with situations similar to this one could help Pennsylvania residents ensure that they receive their fair share during separation.
Source: Forbes, If Your Husband Owns A Business, Watch Out For SIDS (Sudden Income Deficit Syndrome) Once Divorce Proceedings Start, Jeff Landers, Oct. 10, 2013