How to Fill in a Form E Financial Statement on Divorce – Pt 1

How to Fill in a Form E Financial Statement on DivorceThis blog is about how to fill in a Form E Financial Statement on Divorce. If you’re not sure whether you should fill in a Form E, or you’re not sure what to disclose, make sure you obtain legal advice from an expert family lawyer

What Form E is all about

See my blog Financial disclosure on divorce, 10 things you need to know

Don’t fall at the first hurdle

What could be worse than finally sitting down to fill in your Form E and you fall at the first hurdle because you haven’t got the right documents. This week I’ll tell you what documents you need so you can start collecting them together.

Why these documents are necessary

They are required by the Form E. If you don’t include them you will be chased by the other side or ultimately ordered by the Court. So you might as well get on with it now.

Properties

  • If you own or part own any properties – family home, holiday home, investment property – a valuation for each in the last six months is helpful. The more recent the better otherwise you’re going to have to rely on a guess and if you’re way off, this could cause unnecessary delay and expense in your case
  • A recent mortgage statement for each property
  • Click this link to the Land Registry for an online title summary providing basic information about the property. For more detail, order documents by following this link Land Registry.

Bank, building society and savings accounts

Whether in your sole name or jointly with others – 12 months of statements for each.

Any other investments; eg shares, ISAs

Last statement for each investment.

Life assurance policies/endowment policies

Recent statement to show surrender value.

Running a business

  • Last two years’ accounts and
  • evidence that supports your valuation of your business; eg a letter from your accountant

Pensions

Write to your pension provider and ask for the cash equivalent transfer value.

Employed

  • Your last P60 together with
  • wages slips for the last three months

Self employed

  • Last two tax assessments but if these aren’t available, a letter from your accountant
  • If the estimate for your net income for the next twelve months is significantly different from your net income from your last set of accounts, you’ll need to provide a set of your management accounts for the current period to explain the difference

Next blog

Got all your documents together? My next blog will guide you through how to fill in a Form E Financial Statement on Divorce.

How to Fill in a Form E Financial Statement on Divorce

Contact Family Lawyer Joanne Houston on 01962 217640 for an initial consultation on How to Fill in a Form E Financial Statement on Divorce. In this 20 minute session she will review your situation and how you can achieve your objectives.

JUST FAMILY LAW are specialist divorce and family lawyers. We offer Pay as you go costs. We offer Collaborative law solutions tailored to your family’s needs.

The topics covered in this blog post How to Fill in a Form E Financial Statement on Divorce are complex. They are provided for general guidance only. If any of the circumstances mentioned in this blog apply to you, seek expert legal advice.

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How do you Split Assets in a Divorce in the UK?

How do you Split Assets in a Divorce in the UK

How do you Split Assets in a Divorce in the UK?

Family home, pensions, inheritances, business assets, there’s a lot to think about. And is it matrimonial or non matrimonial property?

The starting place is a fifty/fifty split but there are considerations under s.25 Matrimonial Causes Act –

  • the welfare of any children
  • income, earning capacity, property
  • financial needs
  • standard of living
  • ages and length of marriage
  • disabilities
  • contributions
  • conduct if inequitable to disregard it

How do we reach an agreement about assets?

If you can reach an agreement, well done, but run it past an experienced family lawyer to make sure it’s fair. If you can’t agree try –

Whichever method you will need to give full and frank disclosure of your finances. See my blog Financial Disclosure on Divorce, 10 things you need to know. And you need a Court order to protect you. See my blog How do I get a Consent Order? A Simple Guide

What about my home?

The options are –

  • one of you buys the other out, or
  • you sell and divide the proceeds, or
  • one of you keeps the house and the other has an interest in it which they realise in the future. This is called a charge.

What is a charge on the home?

This works well if there are children. You can’t afford to buy each other out and a sale won’t realise enough to house you both. Perhaps there’s only a tiny equity. But how is this fair for the parent who won’t live there and won’t be receiving any cash? The answer is an interest in the property, a charge representing a certain percentage of its value. This means in the future you will get capital from the property.

When do I get the money from the charge?

There are various ways it can be worded. For example, when the children turn eighteen years of age or when the parent living there remarries or cohabits for a certain period.

What about pensions?

Pensions can be significant especially if one of you works in the public sector. In the heat of the moment one of you might say, Keep the pension, I want the house! But this isn’t always wise. It might be better to sell the house, split the proceeds and downsize so you can have a pension sharing order to provide you with income in retirement. See my blog Pensions on Divorce, what can you expect.

How will the assets be split in my case?

It really is impossible to generalise but I can give you a couple of examples.

Sue and John – older couple, no mortgage, no kids

So you’re both in good health and you have a range of assets – nice house, couple of cars, pensions, savings. You are likely to come away with half each, a fifty/fifty split. How this is achieved is up to you. One of you buys the other’s interest in the house. Or you sell it and split the proceeds. You could say, I’ll have the yacht, you have the timeshare. Tot it up so you make sure you’re getting equal value. Don’t forget to get a Consent Order – see my blog How do I get a Consent Order? A Simple Guide

Emma and Mike – two kids, big mortgage, little equity

This is more tricky. The top priority is a home for the children and the only option is the family house. A transfer of the house to Emma with a charge to Mike might be the answer.

Olivia and David – short marriage, no kids

The rules are different for short marriages, see my blog Short marriages, 10 things you need to know.

What about my inheritance?

It depends on –

  • when you received it
  • whether you mixed it with the matrimonial assets or kept it separate
  • whether there are enough non-inheritance assets to provide a fair settlement

See my blog How to protect inheritance on divorce.

I have a business, what will happen to that?

See my blog How to protect business on divorce

But I contributed everything to this marriage!

Sometimes you can keep non matrimonial assets out of the pot for division. These include –

  • Assets built up before the marriage
  • Inheritances
  • Businesses

But non matrimonial assets will go into the pot if this is the only way for example to answer the children’s need for housing. See my blog Ring fence and protect assets on divorce.

What is a clean break, can I still get maintenance?

See my blog Maintenance and clean break on divorce.

How do you Split Assets in a Divorce in the UK?

Contact Family Lawyer Joanne Houston on 01962 217640 for an initial free of charge consultation on the question How do you Split Assets in a Divorce in the UK. In this 20 minute session she will review your situation and how you can achieve your objectives.

JUST FAMILY LAW are specialist divorce and family lawyers. We offer Pay as you go costs. We offer Collaborative law solutions tailored to your family’s needs.

The topics covered in this blog post How do you Split Assets in a Divorce in the UK? are complex. They are provided for general guidance only. If any of the circumstances mentioned in this blog apply to you, seek expert legal advice.

image for How do you Split Assets in a Divorce in the UK? Moving a House on Wikimedia

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Financial disclosure on divorce – 10 things you need to know

financial disclosure on divorce

Not sure about financial disclosure on divorce? Read this straightforward guide. This blog also tells you what happens after disclosure – something you really need to know! But please make sure you take advice from an experienced family lawyer if you are at all unsure about your position.


1.    What are my options

The answer is there are few because the rule is full and frank disclosure backed up by documentary evidence. Hiding assets or income will only serve to drag out negotiations. Furthermore it can result in an expensive and never ending Court case. And can end in imprisonment.

2.    But is it actually a matrimonial asset

This is a vital question but it’s addressed after disclosure.  So yes, you have to disclose all of the following:

  • house you owned pre-marriage
  • pension you paid into since you started work
  • inheritance that post dated your separation

But disclosing an asset doesn’t mean you lose it. Why? Because there may be good reasons why some or all of it should be ring fenced. See my blog Ring fence and protect assets on divorce.

3.    Is disclosure inevitable

Whether it’s voluntary or part of the Court process, at some stage it’s likely you will be called upon to disclose your assets and income. This is in a:

4.    Can I hide my assets in a new account or business

That won’t work either. These are all disclosable, even assets in a trust. By all means argue that the trust should not be taken into consideration after you have disclosed it.

5.    What happens if I don’t disclose my assets

You will be surprised how inquisitive divorce lawyers can be – not to mention forensic accountants. As a result of their investigations your ex could make an application to the Court for you to disclose the asset and all relevant documentation relating to it.

6.    But how bad can it really get 

Worst case scenario, you end up in prison for contempt of court. More likely is a costs order and “adverse inferences” being drawn as to the extent of your assets. If this happens the Court can decide you’ve got more assets than you’re letting on. This can mean an order for a larger share to your ex – not a good outcome.

7.    Will I get away with it

Have you hidden away an asset, or a lucrative plan for your business, and no one has noticed – yet? You will always be looking over your shoulder as your failure to disclose is likely to be discovered.

8.   What if the order has been made

Cases of non disclosure or fraudulent disclosure are treated severely. The Court can overturn the order finalising the matrimonial finances – you will find yourself back at square one again: older, wiser, but sadly a great deal lighter in your pocket.

9. Is financial disclosure on divorce a good idea

Yes, it leads to:

  • quicker and easier outcomes
  • lower legal costs
  • less emotional fallout for you and the children

10. What happens after financial disclosure on divorce

See my blogs What happens after financial disclosure on divorce part 1, part 2 and part 3 for a guide to:

  • filling in Form E
  • Court timetable
  • concise statement of issues
  • chronology
  • questionnaire
  • First Appointment
  • FDR

Contact Family Lawyer Joanne Houston on 01962 217640 for an initial consultation on Financial Disclosure on Divorce. In this 20 minute session she will review your situation and how you can achieve your objectives.

JUST FAMILY LAW are specialist divorce and family lawyers. We offer Pay as you go costs. We offer Collaborative law solutions tailored to your family’s needs.

The topics covered in this blog post Financial Disclosure on Divorce are complex. They are provided for general guidance only. If any of the circumstances mentioned in this blog apply to you, seek expert legal advice.

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