• 17
  • February
    2012

As part of their job, a divorce attorney helps their clients reach fair property division and other divorce-related financial agreements. An attorney might request that clients submit what's called a Lifestyle Analysis of normal spending, income, investments and other financial information. For some clients, this may be the first time they ever looked in-depth at their own financial picture.

Women may be at a financial disadvantage when divorcing, in part because many do not handle their family's financial affairs. This background may easily allow the husband to attempt to hide some important financial facts within the marriage such as hidden offshore bank accounts or money that was secretly spent during the marriage.

In order for the courts to determine what exactly would be an equitable property division and distribution of financial assets in a divorce, both parties will be asked to submit what amounts to a verification of finances. This takes the form of a detailed accounting of assets, liabilities, income and expenses that were the standard during the marriage. These are financial affidavits, sometimes referred to as statements of net worth or financial declaration forms. All information must be completely accurate for the courts to set rules regarding alimony, support payments and division of assets.

Ask your divorce attorney if your financial outlook appears to be complex enough that you might require outside services from a specialist such as a Certified Divorce Financial Analyst, a CPA or other financial advisor who has special training in this area of divorce finances. For most divorcing persons, the advice and direction they receive from their divorce attorney will be sufficient. Outside resources may be required to assist the attorney in creating the Lifestyle Analysis if the overall financial picture is very complex and involves extensive assets and income.

Source

Forbes: "Why a Lifestyle Analysis Is So Critically Important For Divorcing Women," Jeff Landers, Feb. 14, 2012