Dirty Divorce Tricks — Hiding Income
When divorce is starting to look like the only solution in a relationship, people start thinking of all the ramifications that it involves. Material possessions, custody of the children, who gets what vehicle and most important-who is going to pay for what? If you are the major bread winner, male or female, you may be looking at both alimony and child support coming out of your paycheck when the divorce is final.
There are certain things that you should be aware of when it comes to your spouse’s income if they are the major breadwinner in the relationship. Do they work for a set wage or salary and have they consistently brought home a paycheck for about the same amount week after week? Do they receive commissions and bonuses on a regular basis? Do they work for a small company where everyone is family, even the boss?
Sometimes a boss who values their employee is willing to stretch legalities as far as their paycheck is concerned, maybe by diverting some of the pay into a savings account that is not reflected on their paycheck. This is a divorce tactic more prevalent in small businesses. Your spouse may be bringing home less money as the divorce is looming closer and have perfectly good reasons that are hard to refute. The business is in a slump which is affecting commissions, and with the business being slow, the bonuses are not forthcoming. Hours are being cut so your paycheck is smaller.
If you are actively starting divorce procedures, be on the lookout for a sudden drop in income on your spouse’s behalf. When it comes time to file for the divorce, your spouse is going to bring in recent paystubs that show the new decrease in income, and since part of his or her income had previously been based on bonus and commissions, the amount is not questioned. Alimony and child support payments were based on the reduced amount of money reflected in the paystubs.
The only thing left to do, if you think something funny is going on, is watch for the spouse to have a change in lifestyle after the settlement is final. Are they driving a new car, or did they move into an expensive new home or buying top name brand clothes? Be skeptical of a sudden drop in income and talk to an attorney.
We recently opened an office in Madison, Wisconsin! If you’re in the area and need family law legal assistance, please give us a call so we can answer your questions and set up a consultation.
Sterling Law Offices, S.C.
2810 Crossroads Dr #4000
Madison, WI 53718
Phone: (608) 208–6009
Originally published at www.sterlinglawyers.com.