Getting a divorce from a freelancer may put you in a frustrating position. Even if you know that they make a significant amount of money, proving that they have a balanced, regular income can be difficult.
Still, you will want to be sure you know what they actually earn and the income and property they have to be able to get your fair share during your divorce.
Methods of showing freelance income during divorce
There are a few ways to show your income during divorce. For someone working a typical job, tax returns and paystubs may be all that’s necessary. For a freelancer, a few other documents may be available, such as:
- Tax paperwork including write-offs and business income
- Invoices to clients
- Copies of bank account statements
- Copies of PayPal, Venmo or other online payment processor accounts
Using these additional documents, it may be possible to pin down exactly how much your spouse has coming in each month as well as to see the variance in their earnings from month to month.
Being thorough with this paperwork is important for other reasons, too. If your spouse is trying to hide assets or using their business to try to write off assets that should not be to reduce their income, those actions will become apparent on a tax return. Other items you might ask for include copies of receipts, credit card statements and other items to show incoming and outgoing money.
What should you do if your spouse’s income seems inaccurate?
Freelancers often have variable incomes, and there could be variances between what you think they earn and what they actually do after tax. It’s important for you to consider working with a forensic accountant or tax professional to work out their average annual income and to use your best judgment when trying to determine the way to get the compensation and assets you need following your divorce.
While a freelance income can make things a little more complicated during your divorce, you still have a right to a fair portion of your assets. If you don’t feel that the paperwork is accurate, further investigation may be necessary.