Demystifying the Financial Disclosure Process In Divorce: the NJ Case Information Statement.
As a divorce coach, I support my clients through all aspects of the divorce process. One key component to my ability to help them reduce their emotional overwhelm is my structure to help them wrap their heads around their financial picture.
Perhaps the most crucial, yet terrifying document my clients need to fill out in New Jersey is the Case Information Statement (CIS). Similar documents are required in all states, sometimes referred to as a Financial Affidavit or Statement of Financial Worth. This document is arguably the most important document in your case as it sets forth your financial profile which gives both you and the court the information you need to address support and asset and debt distribution issues, as well as child related issues.
In this article, I will walk you through the process and the power it actually gives you to become the director of your financial future.
Let’s start with a framework - the name of the document is Case Information Statement. Your divorce is life altering for you, but it is simply another case for the court. Nonetheless, the information you provide will educate the court on your life circumstances and your financial needs. When you begin by looking at “why” you are filling out this form, you can find a larger purpose. The “what” and the “how” are the overwhelming pieces, but when you are guided by the why, it gives you confidence that the work you are doing will get you answers that will tell your story to the court, your attorneys and your partner, and ultimately, form the basis to ensure a fair resolution of issues such as alimony, child support, and division of assets.
Knowing how important the document is can trigger clients to freeze and delay getting started. I know, it happened to me when I was faced with filling out my CIS. I hadn’t been responsible for the financial life of our family. I left that to my husband. I wasn’t in the workforce at the time. He was the working spouse, often referred to as the moneyed partner. I didn’t think I needed to know this information. It was upsetting to acknowledge that I allowed myself to become disempowered. In some cases, the moneyed partner sets up that financial situation by intentionally keeping their partner in the dark. Now, you can take that power back when you complete this form. You educate yourself, and that is powerful.
Take it in small steps. Be methodical. Create a timeline for completing the task and know that you can update and amend it as the case proceeds. Don’t let the fear of making it perfect, derail you from completing it to the best of your ability. You are doing the best you can with the information you have.
Start with what you know. In other words, you may believe you don’t have any information, but likely you have some. You probably know more than you think you know.
Each part of the CIS is designed to elicit different financial information. It is part balance sheet and part budget. It also provides the opportunity to include information that explains the family’s financial story. Recognize that your financial picture is multifaceted. The document guides you toward seeking specific information. This allows you to identify what you have access to and what you don’t have access to. It allows you to give your lawyer the information so you can obtain what you need.
Here are some steps to follow:
1. Gather Financial Documents: Collect your financial records, including pay stubs, tax returns, bank statements, CDs, stocks and bonds, mortgage statements, leases, retirement accounts, insurance policies, student loans and any other relevant documentation. Your lawyer can guide you toward how many years/months of historical documents you need to collect and review. Collecting the relevant documents will make filling out the CIS much easier.
2. Follow the Format: The CIS has a specific format that includes sections on income, expenses, assets, and liabilities. Make sure to fill out each section carefully. Also, recognize that the form guides you toward the information you need. If you don’t have information, let your attorney know and they will use their best efforts to help you obtain it.
3. Break It Down: Tackle one section at a time rather than trying to complete it all at once. You may want to block a set amount of time each day dedicated to CIS preparation.
4. Be Accurate and Honest: Provide truthful and accurate information that may need to be expanded when you have more information. Identify on the document where you are seeking documentary support rather than leaving blanks. Inaccuracies can lead to delays or complications in your case.
5.. Seek Assistance if Needed: If you feel overwhelmed, don’t hesitate to seek help from a a divorce coach, or legal or financial professional like a Certified Divorce Financial Advisor. They can offer guidance and support throughout the process.
By approaching the CIS with preparation and clarity, you can navigate this aspect of your divorce with confidence. Remember, it’s a tool to help facilitate your divorce, empower you with knowledge and ensure fair outcomes for everyone involved.
For more information reach out to Lisa@lzlcoaching.com or book a complimentary discovery call here.
