What Is Included in a Statement of Net Worth?
The divorce process in New York requires each spouse to complete a Statement of Net Worth. This document discloses expenses, income, outstanding debts, and assets. It is a sworn statement you sign under oath. That means you must be truthful in your disclosures.
If you try to guess about any aspect of your financial situation and the correct information is significantly different, it will likely appear that you’re lying. Leaving out the required details or knowingly providing false information is perjury. You could be held in contempt of court and face legal consequences.
You’re responsible for reviewing every part of the statement to ensure it contains factual and accurate information. Double-check before filing it with the court if you’re uncertain of any details. If you notice mistakes, correct them immediately. You can modify your statement even after you file it if you discover errors.
Below are the different sections that must be included in your statement of net worth.
Family Data
In the family data section, you’ll provide basic details regarding you and your family. It’s general information, such as Social Security numbers, birth dates, ages, education, and health.
Expenses
The expenses section requires a detailed description of your monthly household expenses. You can refer to your bank statements, bills, and credit card statements to calculate an accurate number. Your expenses might differ slightly from month to month. You can determine an average number to include.
Try your best not to guess. Allowing another set of eyes to confirm that your math is accurate is beneficial. You can also provide your attorney with the documentation so they can review everything before filing it with the court.
Income
Obtain your most recent W-2 and pay stub to determine your income. This section also requires additional types of income you might receive. If your income isn’t consistent each month, use an average based on the most recent tax year.
Assets
The asset section requires listing every asset you have, such as real estate, bank accounts, vehicles, and businesses. If possible, include the associated account numbers. You should gather all your financial records, banking information, and other documentation to review so you don’t leave out any assets.
You must also provide the value of your assets. If you’re unsure of the value, you can write down that you don’t know and will find out.
If you and your spouse share assets jointly, include those on your statement. Indicate that the item is a joint asset and state whether you need to acquire the necessary documentation or valuation information to provide the court.
Liabilities
List every outstanding debt you and your spouse have. Your debts can include mortgages, credit cards, and loans. You should mention any money you borrow from family and friends if they expect you to repay them.
Support Requirements for a statement of net worth
In the support requirements section, indicate whether you’re receiving or will request support from your spouse. You must also include the amount you’re already receiving or how much you want to receive from your spouse.
You should consult your lawyer to determine an appropriate amount. You don’t want to ask for a number too low.
Counsel, Accountant, and Appraisal Fees Sections
In these sections, include information about how much you must pay your attorney, accountant, and any other experts you require to properly gather all the information in the statement.
Certification
The last section is where you will sign your name. Your signature indicates you attest that the information you provided in the statement is true and accurate.
Get Legal Assistance from a Trusted Lawyer
Although completing a statement of net worth seems straightforward, mistakes can have consequences. You should not handle the process alone.
The Mandel Law Firm has helped NYC clients with their divorces since 1980. Get the legal representation and guidance you need by calling us at (646) 770-3868 for an initial consultation.
