CPA's as Forensic Accountants in Divorce

The following article has recently appeared on at least a few of the family law blogs, which I found to be particularly interesting.  Thanks to the Oklahoma Family Law Blog and the Georgia Family Law Blog for sharing this information with us.

 

Marriage has become a delicate venture. According to the U.S. Census bureau, about nine out of ten people will marry sometime in their lives, but about half of first marriages will end in divorce. And while some marriages end peacefully, with both sides agreeing to an equal and fair settlement, some do not, and the ensuing process can get quite vicious.

When ex-spouses significantly distrust each other, it is advisable to engage the services of a lawyer, especially if one or both do not understand their household finances and the economic implications of marital settlements. In turn, attorneys often hire CPAs as forensic accountants to help represent the spouse who doesn’t have access to the family’s financial information. In these cases, the forensic analysis might include reviewing financial data to determine its accuracy and reasonableness; determining each spouse’s standard of living and disposable income; locating hidden assets; and determining what property may be considered separate from marital property, especially if one of the spouses runs a closely held business. This type of work has created a highly focused segment for the profession: forensic accounting in divorce engagements.

Marriage: The Leading Cause of Divorce? Out of the more than 2 million marriages performed last year, 60% were the first marriage for both bride and groom. Unfortunately, for those first marriages that do end in divorce, the average length of a first marriage is only about eight years. The median duration of second marriages that end in divorce is only about seven years.       

Most newlyweds probably don’t think of their wedding day as the beginning of a personal business partnership: making money, budgeting, accumulating assets, and investing for the future. Nevertheless, couples should still plan how to divide this property at the blissful beginning, not the bitter end. This planning could take the form of a premarital agreement, which may not be a perfect document, but is generally enforceable in all 50 states. This is why both spouses must understand their household’s finances. It is not a good idea to allow one spouse to run all the finances while the other spouse knows nothing about it. After all, the person you plan to spend the rest of your life with would never try to hide something from you … or would they?

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Missouri Case Law Development: Parenting Plan Must Address School Holidays and Birthdays

Record supports Trial Court's order for anger management, and order is sufficiently specific to enforce. Trial Court did not stop Father from participating during in-chambers interview, and Child's statements in that procedure support custody order. Trial Court erred by issuing parenting plan that failed to address custody on Child's birthday and school holidays, requiring remand.   The entire opinion can be read at  In re the Marriage of: Patrick Lynn Murphey and Angelic Marie Murphey. Patrick Lynn Murphey, Petitioner/Appellant v. Angelic Marie Murphey, Respondent/Respondent.

Tips for Newly Single Parents

The Following practical tips are offered by New York Times/about.com author Jennifer Wolf on how to get through your first year as a single parent.

  1. Develop a Support Network
    This is absolutely crucial. You need to know who you can depend on right now. Most likely, this network includes your immediate family and friends, but think about other people in your life who might also help you. Making an actual list of who these people are can help remind you that you're not alone. In addition, consider joining a formal support group for single parents.
  2. Ask for Help
    This is one of the most difficult things to do. But there are people around you who would love to help! Keep in mind that allowing others to help you is a gift to yourself and to the person assisting you. Sharing in one another’s lives during difficult times affirms our human connection and brings a sense of purpose to everyday living.
  3. Schedule Time to be Alone
    Time is a very powerful tool. It will bring you healing, hope, and perspective. Right now, it’s important that you create pockets of time in your life when you can just be. Time when you’re not accountable for completing a task or responding to questions. Time to sit, to think, to ponder.
  4. Think Outside the Box
    If finding time to yourself sounds impossible, consider some creative solutions, like swapping babysitting time with a neighbor or waking up a half-hour before the rest of your household. The time that you give yourself is precious, and it will be fruitful in helping you to establish reserves of inner strength.
  5. Be Present with Your Kids
    When you're with your children, make an effort to be emotionally present with them. It would be easy to retreat into your heart right now, but this is a time when your children truly need you more than ever. Simple activities like playing a board game or taking a walk together can go along way toward communicating the message that life will go on and they will, indeed, be okay.
  6. Get the Facts About Your Situation
    You might be tempted to make quick decisions right now about where to live and how to handle your finances. However, ignorance in this area can be extremely dangerous, and so can making rash, uninformed decisions. For now, take the time to find out where you stand financially. Gather the necessary papers in order so that when you are emotionally ready to make changes, you'll be prepared and able to make informed decisions.
  7. Grieve
    Expressing your feelings is important to your overall health. Consider writing in a journal or scheduling a regular "date" with a friend to vent, cry, and grieve. Single parents are born of many different situations. Whether you've experienced the loss of a spouse, the end of a marriage, or an adjustment to the dream you once held for your life, it is important to grieve and process the loss before moving on.
  8. Pay Attention to your Physical Health
    This may be a time when you are feeling especially worn down and drained. Combat that by making the effort to eat healthy foods and choose energizing ways to fuel your body. Instead of relying on extra caffeine, try taking a walk at lunchtime. Additionally, getting adequate rest is crucial to your healing and ability to cope. Forgo the temptation to sit in front of the TV. Instead, read a book and retire early.
  9. Identify What Gives You Strength
    In the past, how have you handled challenging times in your life? What most energizes you and reminds you that you possess the strength needed to meet the current challenge? Focus on what has worked for you in the past.
  10. Let Go of What Isn't Working
    Likewise, let go of what has not worked for you. As you move through this first year, reflect on the habits and choices that have not served you well, and decide to change them. In addition, if there are things from the past that you cannot change, let go of unhealthy guilt and remorse.
  11. Focus on the Positive
    This is a time of new growth in your life. Take the time to think about the things that are going well for you. Having a positive attitude - even in the midst of extreme circumstances - can empower you to move ahead and provide your children with a tangible example of the coping strategies you want them to adopt.

Source for Post: singleparents.about.com

Telling Your Child About Divorce

Divorce is stressful for parents and children alike. Although children's emotional reactions usually depend on their age at the time of the divorce, many children experience feelings of sadness, anger, and anxiety - and it's not uncommon for these feelings to be expressed in their behavior. Often, the child's emotional reaction can be quite different than the parent's, and it's important to understand these differences. For example, a parent may feel a sense of relief that a difficult period is coming to some resolution, whereas the child may feel a sense of loss.

Fortunately, there are things you can do to help your child during a divorce. By minimizing the stress the situation creates and responding openly and honestly to your child's concerns, you can help your child through this difficult time.

As soon as you're certain of your plans, talk to your child about your decision to divorce. Although there's no easy way to break the news, both parents should be present when a child is told, and feelings of anger, guilt, or blame should be left out of the conversation. At best, this is a difficult message to communicate, but if you handle it sensitively, you can help make it less painful for your child.

Although the discussion about divorce should be tailored to your child's age and development, all children should receive the same basic message: "Mommy and Daddy used to love each other and were happy, but now we're not happy and have decided we'd be happier apart. What happened occurred between us, but we will always be your parents and we will always be there to love and take care of you."

It's important to emphasize that your child is in no way to blame for the breakup and that the unhappiness is not related to him or her. Children tend to blame themselves for the failure of their parents' marriages, and they need to be reminded frequently that it is not their fault. Finally, your child may question whether your love for him or her is temporary (because it was with your spouse); reassure your child that even though you're getting a divorce, you love him or her permanently and unconditionally.

When it comes to answering questions about your divorce, it's important to give kids enough information so that they're prepared for the upcoming changes in their lives but not so much that it frightens them. Try to keep your feelings neutral and answer your child's questions in an age-appropriate way and as truthfully as possible. Remember that kids don't need to know all the details; they just need to know enough to understand clearly that although divorce means separating from a spouse, it doesn't mean parents are divorcing their kids.

Not all children react the same way when told their parents are divorcing. Some ask questions, some cry, and some have no initial response at all. For kids who seem upset when you break the news, it's important for parents to let them know that they recognize and care about their feelings and to reassure them that it's OK to cry.

For example, you might say, "I know this is upsetting for you, and I can understand why," or "We both love you and are so sorry that our problems are causing you to feel this way." If your child doesn't have an emotional reaction right away, let him or her know that there will be other times to talk.

Most children are concerned with how the divorce will affect them:

  • Who will I live with?
  • Will I move?
  • Where will Mommy live or where will Daddy live?
  • Will I go to a new school?
  • Will I still get to see my friends?
  • Can I still go to camp this summer?

Be honest when addressing your child's concerns and remind him or her that the family will get through this, even though it may take some time.

Source for Post: www.kidshealth.org

Giving Depositions in your family law case: An Overview and some tips

In its simplest form, a deposition is the giving of oral testimony under oath before trial.  Depositions are conducted in front of a court reporter and will assist your attorney in the preparation for trial.  The use of oral depositions is a standard procedure in family law cases for discovering relevant and material facts, determining the strategy of the case, and searching the concience of the person being deposed (called the deponent).

It is very important to take the deposition seriously.  As a deponent, the attorney taking the deposition is searching for ways to discredit the deponent, obtain information, and obtain admissions.  The defending attorney is seeking to avoid harmful admissions, present the facts in the best light possible, and to protect the deponent's creditability.

You should remember that the deposition is usually the first chance the opposing attorney has a chance to see you, so you must make a good impression, and treat the deposition as if you were appearing in court.  You should do the following:

1.  Be clean and wear neat, conservative clothing

2. Be respectful

3.  Tell the truth to all questions asked

 

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