If you are moving toward a divorce, it is important to gather financial documentation. You and your spouse are likely going to have to split up marital assets, and this may mean making financial disclosures to the court. Documentation like bank statements, credit card statements or tax returns can be used to show what you and your spouse have earned and what you own.
While doing this, one red flag that you may want to look for is if there have been any significant spending changes. Your spouse is allowed to spend money in a normal fashion during the divorce process, such as paying for transportation, housing, food and other normal necessities. But if their spending has significantly increased, it could mean they are trying to dissipate your marital assets.
Why would they do this?
This is a tactic that people sometimes use to keep financial assets out of property division.
For instance, perhaps you are a stay-at-home parent, so you have very limited access to income. Meanwhile, your spouse is a high earner with a six-figure job in the tech industry.
Ordinarily, you would have to split your marital assets, which include the income they earned during the marriage. But they may decide to spend as much of the saved money as possible so that there is less to divide with you. They know that they can simply use their high-paying job to earn that money back after the divorce, but that you will not be able to do so.
Naturally, this can infringe on your rights to marital assets that you deserve. If you notice evidence of dissipation or hidden financial assets, it is important to know what steps to take to preserve your access to these assets. An experienced divorce attorney may be able to help.