How Your Spouse May Hide Assets in Divorce

People in South Carolina who are going through a divorce might wonder whether their spouse could be trying to hide assets. Hiding assets could be as simple as taking money out of a joint account or a valuable item from home and giving it to a friend or family member, or it could be as complex as creating shell companies and transferring stock to them.

Hiding places

Another way to hide assets is by purchasing things that might not be noticed, such as coins as part of a coin collection. Cash or valuables could also be placed in a safe deposit box. People might change how they file their taxes, underreporting income or overpaying so that the refund comes in after the divorce is final. A spouse could also hold off on accepting a raise, a bonus or other financial remuneration until after the divorce so that the money would not be counted as part of their income. Some people might open accounts in the names of friends or family members and place assets there.

Finding hidden assets

The huge number of ways that assets can be hidden is the reason that it can be so difficult to find them in the first place. If you think your spouse is hiding assets, you may want to consult a forensic accountant or another professional who has a background in locating assets. You will have a better chance of knowing when your spouse is hiding assets if you are familiar with the family finances.

Locating hidden assets can have substantial implications for asset division. If you are a lower-earning spouse and particularly if you have not worked outside the home at all, it can be critical to identify all sources of income to help you get your share of the property and ensure financial stability after the divorce.