Hiding Assets

Honesty may be the best policy for a successful marriage. But when it comes to divorce, couples are becoming increasingly devious in concealing their wealth from each other reports the Pennsylvania Family Law Blog.

One fifth of couples who divorced last year tried to conceal their assets or income from their spouse - a figure which has doubled since 2006 - a report has found. The study - by the accounting firm Grant Thornton, which surveyed 100 family lawyers - found that husbands were much more dishonest when a marriage crumbled.

In cases where assets had been hidden, 88 per cent involved men concealing wealth from their wives. Just two per cent involved women hiding assets. In the remainder of cases, both partners tried to conceal wealth from one another.

Family law experts say a spate of expensive, high-profile divorce cases, such as that of Sir Paul McCartney and his wife, Heather Mills McCartney, is spurring couples to hide their wealth from each other.

Andrea McLaren, the head of Grant Thornton’s matrimonial practice, said: ‘The number of couples hiding assets from one another has increased by 100 per cent since last year, which is staggering. Supposedly, men are seeing terrifying huge divorce settlements which are compelling them to hide assets.

In Iowa, you must, unless waived by court order, disclose all assets on an affidavit of financial status. While the affidavit is signed under oath, it does not guaranty full disclosure. Make sure you keep track of all marital and nonmarital assets during a marriage: this does not mean you are necessarily eyeing a divorce, but it is helpful when your spouse gets sick or passes away and is unable to carrying on his/her financial affairs.