Forensic accountants focus on accounting-related work that could come up in court, such as income, assets and debts. You should consider consulting with one before negotiating a divorce settlement in California.
Discover hidden assets
One of the biggest reasons to consult a forensic accountant is to search for hidden assets. Some people try to hide assets during the marriage to keep more wealth after a potential divorce. It’s illegal to hide assets in a divorce. A judge might not catch it, but a forensic accountant could.
Evaluate the value of your assets
Forensic accounts can conduct accurate asset evaluations to help you and your spouse know how much you will have left over after paying off any debts. You can negotiate a better agreement when you know the true value of your property and investments. Forensic accountants could also let you know what the tax implications are of certain property division strategies, allowing you to choose the plan that makes more sense.
Estimate the appropriate child support payment
Another problem that sometimes arises in divorce is the higher-earning spouse underreports their income to reduce their child support and/or alimony payments. A forensic accountant could determine what their true income is to prevent this issue.
Sometimes, a spouse isn’t trying to swindle their partner. They may have made a mistake in reporting their income and assets. This is another reason why it’s a good idea to have a forensic accountant conduct an analysis of your financial situation.
In order to receive a fair distribution of marital property and assets after a divorce, you need to take an accurate assessment of your total assets and debts. A forensic accountant could help you with these complicated analyses.