One of the most important and complex court forms to prepare during a California divorce proceeding is the balance sheet, which requires disclosure of assets and liabilities of the divorcing couple. If you and your attorney created a detailed divorce budget, completing the balance sheet should not be difficult.
What Is a Balance Sheet?
A balance sheet is a document that summarizes the assets and liabilities of the divorcing couple and their marital estate. The basic equation of a balance sheet is Assets – Liabilities = Equity. In other words, the equity or net worth of the divorcing couple is everything they own less their debts.
During a divorce proceeding, the court or mediator cannot divide the marital assets between the divorcing couple unless they know what the assets and debts are. As such, balance sheets become an important part of the divorce process.
Who Can Help Me Prepare a Balance Sheet?
In preparing a balance sheet, you are in essence taking inventory of your assets and liabilities. Professionals who can assist you in gathering the necessary information to create your balance sheet include your financial advisor, accountant, bank manager, and family lawyer.
With the right help, you and your spouse can create a balance that will facilitate a quick and easy divorce process.
For more information about how to create a divorce balance sheet or to schedule a consultation with an experienced family law attorney, please call Zonder Family Law at (805) 231-5705.