If you are in the middle of divorce proceedings and you or your soon-to-be-ex-spouse possess a small business or significant amount of assets, you may want to consider consulting a forensic accountant. This is an individual who thoroughly analyzes your accounts, property, income, spending habits and other financial aspects.
By doing so, the accountant helps ensure the split of marital resources has a basis in reality. This is due to a couple of reasons.
The uncovering of hidden assets
Many people try to appear poorer than they are in reality to avoid paying alimony or child support or to make sure their former partners do not receive anything of value in the divorce. Yours may attempt to do so by stashing funds in hidden accounts, transferring assets to other individuals, overpaying the IRS so the money comes back in the form of a refund and employing other deceitful tactics. Even cryptocurrency may serve as an avenue for concealing wealth. A forensic accountant may uncover secret reserves and shady methods and bring them to the attention of the judge so the other party faces justice and you obtain a more equitable share.
More accurate determination of financial states
Earning potential, income and debt all factor into the settlement. Forensic accountants understand how to correctly determine these. They are also able to reveal any tricks your soon-to-be-former spouse may use, such as quitting a high-paying job and taking a minimum wage one on purpose.
A forensic accountant aids in reducing inaccuracies by correctly finding the true value of assets and uncovering concealed assets in a divorce. One’s services may help make the property division process fairer for both sides.