As a divorcing couple, you will likely experience a lot of tumultuous happenings during the divorce itself. And sometimes, a spouse may bank on the distraction and stress. They might try to use it as a cover to hide assets.
Hidden assets plague many divorce cases, especially in high income or high asset marriages. But what can you do to stop it? The first thing is knowing where to look.
Hiding money in expensive purchases
Forbes discusses some of the most common places to hide assets. Often, a spouse will attempt to hide them in plain sight. They can do this through the purchase of big ticket items such as televisions and expensive electronics, pricey furniture, vehicles and more. In doing so, they transfer cash assets into a personal item that is not easily divided. After the divorce, they will sell or return the item to get the money back.
Fudging the numbers
Spouses may also try to fudge numbers by falsifying where their money is going. For example, they may claim to be repaying a debt. However, in reality, they are giving the money to a relative or close friend to hold onto until after the divorce gets finalized. If your spouse owns a business, they may also falsify employee records. A common tactic involves creating a fake employee to pay, thus writing off potentially large sums of money that go right back to your spouse’s checkbook.
If you believe your spouse might be engaging in hiding assets, you may want to contact a financial forensic analyst. They can take a closer look at the situation to determine what you should do.