If you are going through a divorce or another family law matter that involves finances, you may be required to provide a financial disclosure form. Family matters often involve finances, and parties and courts may have to make decisions based on this information.
Having accurate financial information is often essential to securing a fair award of child support or spousal support. An experienced family lawyer can guide you through completing and requesting financial disclosure forms.
What Is a Financial Disclosure Form?
When you’re involved in certain types of family legal cases, you may be required to complete and exchange various types of information with the other party. In New Jersey, this information is recorded on a family part case information statement.
The financial information contained on this sheet helps the parties and the court make informed decisions when finances affect determinations. These statements serve an integral role in cases involving divorce, separation, spousal support, and child support.
It’s critical that both parties provide accurate and honest information. Failing to complete or lying on these forms can result in significant consequences. Many aspects of these forms are confidential and not accessible to the public.
What Is Included on a Financial Disclosure Form?
New Jersey’s financial disclosures include information about the parties:
- Employment information: Information about each party’s employer, contact information, insurance offerings, and affidavits of insurance
- Income information: Gross income, unearned income, taxes, corporate benefits statements, statements of fringe benefits, information about bonuses and commissions, check stubs, and deductions
- Tax information: Copies of this and last year’s tax returns, W-2 statements, 1099 forms, Schedules C, and other tax forms
- Expenses: Tax deductions, other deductions, rent or mortgage payments, utilities, insurance, parking, phone expenses, cable, internet, security, auto payments, auto insurance, fuel and oil, commuting expenses, food, medicine, clothing, child care, and other recurring and non-recurring expenses
- Assets: Bank account information, safe deposit boxes, real property owned, vehicles, stocks, bonds, securities, pension, retirement plans, IRAs, and other property owned
- Other support: Other spousal or child support received or paid
- Debts: Mortgage payments, car notes, credit card debt, personal loans
The case information sheet provides space for you to describe special circumstances. There is also a list of documents you will need to attach to your forms.
What if a Party Fails To Disclose Information?
Parties certify that they will be subject to punishment if they make “willfully false” statements with their financial disclosures. Possible punishments could include:
- Fines and sanctions
- Awarding an undisclosed asset or a larger portion of it to the other party
- Reopening the case that was based on inaccurate information
Your lawyer could also seek to hold them in contempt.
Mistakes To Avoid When Filling Out Financial Disclosure Information in Divorce Cases
The financial disclosure process can be confusing for many people. Yet, your case depends on having accurate information.
Here are some common mistakes that you need to avoid when going through this process:
- Guessing the value of assets rather than getting an accurate value for them
- Failing to gather all documents
- Not providing the supplemental documents requested on the disclosure form
- Not disclosing separate property
- Leaving out debts
- Not providing information about all sources of income
- Not properly listing all benefits or accounting for bonuses, commissions, or stock options
- Inflating expenses or underestimating expenses
- Including expenses or debts that don’t exist
- Misreporting information, such as tax deductions
- Failing to understand the complete financial picture
- Not providing supplemental information to explain extenuating circumstances
An experienced attorney can help you complete your financial disclosures and help you avoid these common mistakes.
A Family Lawyer’s Role in Financial Disclosures
A family law attorney can provide knowledgeable and effective legal representation through all aspects of the divorce process, including the financial disclosures process.
A lawyer can help with financial disclosures by:
- Discussing your financial picture with you to get a better idea of the situation
- Explaining the types of documentation you will need to support your disclosures
- Reviewing your income, assets, and debts
- Helping to gather documentation you will need to include with your disclosures
- Helping avoid common pitfalls associated with completing financial disclosures
- Helping to ensure your forms are completed correctly and that they have accurate information based on the documentation you provide
- Reviewing the other party’s financial disclosures for errors or omissions
- Requesting additional information about finances during the discovery process
Accurate financial disclosures can lay the foundation for fair long-term outcomes. A lawyer can help with this process.
Meet With an Experienced Family Lawyer To Discuss Your Situation
Financial disclosures are integral to divorce and many other family law cases. If you don’t complete these disclosures correctly, you can face severe consequences. If the other party doesn’t provide accurate information, you can be at a disadvantage.
An experienced family law attorney can help you complete your disclosures and review the other party’s disclosures for inaccurate information or omissions. Reach out to The Law Office of Jennifer J. McCaskill, LLC at (732) 747-1882 today to schedule a confidential consultation with a family lawyer who can guide you through the next steps.
