Financial disclosures are the backbone of productive mediation. They give everyone a clear picture of income, assets, debts, and monthly expenses so the conversation can focus on solutions. Think of this as building a complete, honest snapshot of your finances. The more organized you are, the smoother the process tends to be.
Start early. Many institutions take time to provide statements or confirm balances, and you’ll want room to track down anything missing. When preparing the financial disclosures mediation requires, aim for consistency: similar date ranges across accounts, the same level of detail for each item, and documents that match the numbers you share.
- Income: Recent pay stubs (usually 3 months), last 2–3 years of W-2s/1099s, bonus/commission statements, and profit and loss reports if self-employed.
- Tax returns: Federal and state returns for the past 2–3 years with all schedules and K-1s, if applicable.
- Bank accounts: Statements for checking, savings, and credit unions (typically 6–12 months), including joint and individual accounts.
- Investments and retirement: 401(k), IRA, pension, brokerage statements, stock options/RSUs, and any cryptocurrency or digital assets.
- Real estate: Deeds, mortgage statements, equity lines, property tax bills, HOA statements, and any recent appraisals or market analyses.
- Vehicles and titled property: Titles/registrations and loan payoff amounts for cars, boats, motorcycles, and RVs.
- Debts: Credit cards, student loans, personal loans, medical bills, and buy now pay later balances.
- Insurance and benefits: Health plan details, HSAs/FSAs, life insurance (including cash value), and any long-term disability policies.
- Business interests: Operating agreements, ownership percentages, valuation summaries (if any), and recent financial statements.
- Monthly budget: A list of ongoing expenses such as housing, utilities, childcare, transportation, tuition, and subscriptions.
- Significant personal property: Jewelry, art, collectibles, or equipment with meaningful value and any documentation you have.
List everything first, then discuss what may be considered marital or separate. If you believe something is separate (for example, a gift or inheritance), note when it was received and where it was kept. If funds were mixed with joint accounts, flag that so it can be reviewed. Dates matter; balances on or near the mediation date are more useful than older figures.
Use clear labels. Include account names, the last four digits of account numbers, and the time period covered. If a number is an estimate, say so and explain how you arrived at it. Avoid guessing when a statement is available; pulling the official figure builds trust.
If you’re missing documents, request replacements from your bank or provider and keep a simple log of what you’ve asked for and when. For cash income or tips, gather any records you do have—deposits, calendars, or summaries—to show a reasonable picture.
Watch for easy to miss items: pending tax refunds, accrued vacation or PTO payouts, loyalty points, security deposits, unvested bonuses or equity awards, and reimbursement balances. These can influence negotiations even if they’re not cash in hand today.
Protect privacy. Redact full account numbers except the last four digits and avoid sharing Social Security numbers unless specifically requested in a secure manner. Ask how your mediator prefers to receive files; a single, labeled folder or PDF packet is often easiest.
Bring a brief summary sheet. One page with totals for income, assets, debts, and monthly expenses helps the mediator and both parties see the big picture quickly. Keep the source documents handy—printed or digital—to answer questions about any line item.
If you have questions about what to include or how to present it, consider speaking with a lawyer. Liberty Audette & Associates can discuss general requirements and help you organize information so mediation time is used effectively.
Accuracy and transparency set the tone. With complete disclosures, you reduce surprises and give mediation the best chance to focus on practical, durable agreements.
Assets & Debts to List & Document
When you’re preparing for financial disclosures mediation, the goal is a clear, complete picture of what exists today—what you own, what you owe, and the paper trail behind each item. Think in categories, but also think in stories. For every account or obligation, you’re answering three questions: what is it, what’s the current balance, and how do you know?
Start with assets. Bank balances and cash are straightforward, but don’t stop there. Brokerage accounts, retirement plans, and pensions matter even if they aren’t being accessed right now. Equity in a home or other property belongs in the snapshot, along with vehicles, trailers, or recreational equipment with titles. If there’s a business interest, include the ownership percentage and recent financials. Digital assets count too, whether that’s cryptocurrency held on an exchange, funds in a payment app, or domain names. Life insurance with cash value, health savings and flexible spending accounts, and security deposits are easy to overlook, yet they’re part of the total picture.
Now debts. Credit cards and personal loans are common, but make room for the less obvious items that influence monthly cash flow: lines of credit, a home equity loan, auto loans, student loans, and medical balances. If there’s a tax bill on a payment plan, note it. Buy now pay later accounts and family loans are relevant, especially if they affect your budget. If an account is cosigned, flag that relationship so everyone understands the obligation isn’t held by just one person.
Documentation is what turns a list into reliable information. Current statements are best because balances shift with interest, payments, and market changes. Real estate may benefit from an appraisal or a recent market analysis; if that isn’t available, a mortgage statement and property tax records at least establish ownership and debt. For vehicles, a registration and a payoff quote help show equity. Business interests are often the most complex, so recent profit and loss reports, balance sheets, and any prior valuation summaries are useful anchors.
If you believe something is separate property—like an inheritance received before or during the marriage—identify when it came in and where it was held. If funds were never mixed, that’s simpler. If they were combined in a joint account, gather the earliest and most relevant statements you can. The point isn’t to argue ownership on the spot; it’s to give mediation a clean record that can be discussed without guesswork.
Account titles can be misleading, so be careful about assumptions. An individual credit card might have been used for family expenses. A joint account might contain paychecks from only one person. Many couples also have assets that aren’t liquid but still matter for planning, such as unvested bonuses, stock awards, deferred compensation, accrued vacation or paid time off, and loyalty points tied to airlines or hotels. These items may not be divided dollar for dollar, yet seeing them on the radar helps with practical solutions.
As you collect documents, keep it simple. Use consistent date ranges when possible, note the last four digits of each account, and label any estimate with a short note about how you calculated it. If you’re missing a statement, request a replacement and keep a quick log of what you asked for and when. Protect privacy by redacting full account numbers, and ask how the mediator prefers to receive files. Many people compile a single digital folder with subfolders for assets, debts, income, taxes, and property records.
Business owners and self‑employed individuals may need an extra pass. Separate business and personal expenses, identify owner draws or distributions, and note any personal guarantees on business debt. If equipment or vehicles are titled to the business, include those details too. Perfection isn’t the target; consistency is. With well labeled documents and current balances, financial disclosures mediation can focus on options instead of hunting for numbers.
If you want help understanding what to gather or how to organize it, you can speak with a lawyer. Liberty Audette & Associates can discuss general requirements and help you prepare materials so your time in mediation is used effectively.
Valuation Strategies & Appraisers
Values drive negotiations. In financial disclosures mediation, clear numbers help everyone evaluate options with confidence. That’s where appraisers and valuation strategies come in. The right approach depends on the asset, the questions you need to answer, and the level of precision that fits your timeline and budget.
Real estate usually benefits from an independent appraisal set as of an agreed valuation date. A full appraisal with interior inspection offers the most detail, but a desktop or hybrid appraisal can be enough when the spread between offers is small or the property is straightforward. For condos and tract homes, comparable sales often carry weight; for unique or rural properties, the appraiser may rely more on cost and income data. Share recent improvements, permits, leases, HOA documents, and any prior appraisals so the report reflects the property you actually own, not just a generic estimate.
Vehicles and everyday personal property can often be valued using published guides and current listings, paired with photos and maintenance records. For jewelry, art, or collectibles, a specialized appraiser may be appropriate. If authenticity or provenance matters, gather receipts, certificates, or prior appraisals early so there’s time to verify details before mediation.
Business interests require a different toolkit. Valuation professionals typically use one or more of three approaches: income (what the business can reasonably earn, adjusted for risk), market (how comparable companies are priced), and asset (what the underlying assets are worth, net of liabilities). Expect “normalizing adjustments,” such as aligning owner compensation with market rates or separating personal expenses from business expenses. Provide profit and loss statements, balance sheets, tax returns, customer concentration data, contracts, leases, and any material events that could affect revenue or risk. If confidentiality is a concern, mediators and counsel can structure limited data access and nondisclosure measures so work can proceed without broad exposure.
Investment and retirement accounts are often valued with current statements, but timing matters. Statements close to the mediation date give a more accurate picture, especially in volatile markets. Some assets, like restricted stock units or deferred compensation, may require schedules showing grant dates, vesting terms, and any employer plan documents. Parties sometimes review different scenarios such as current value versus projected value at a specific vesting date—to see which division method is more practical.
Choosing and working with an appraiser comes down to clarity and scope. Look for relevant credentials and experience with the asset type. Decide whether you want a joint neutral (one appraiser both parties agree to use) or separate experts. A joint neutral often reduces duplicate cost and debate over method; separate experts can be useful when there are complex or disputed assumptions. Confirm the engagement in writing: who the client is, the valuation date, the standard of value being applied, the documents to be reviewed, deadlines, and how questions will be handled if new information surfaces.
Costs can be managed with thoughtful scoping. For example, if a business is small and largely tied to a single service provider, a calculation engagement may be sufficient, while a full opinion might be reserved for larger or more complex operations. For real estate, agree on a short list of acceptable comparables or ask the appraiser to provide ranges so the parties can test settlement options without commissioning multiple updates.
Disagreements over value don’t have to stall progress. In financial disclosures mediation, it’s common to bracket numbers, use ranges, or condition proposals on a future event (such as a listing or buyout within a set window) with a tie breaker if market conditions shift. If questions remain, parties can stipulate to an updated appraisal or a brief supplemental review focused on the specific point in dispute, rather than starting over.
If you want help aligning valuation work with disclosure obligations and mediation strategy, Liberty Audette & Associates can discuss general options, coordinate timelines, and ensure appraisers receive the documents they need so the focus stays on practical solutions.
Disclosing Retirement Accounts & Business Interests
Retirement accounts and business interests often carry a large share of a couple’s net worth, yet they’re also the areas where details get missed. In financial disclosures mediation, clear, current information on these categories keeps talks grounded in facts instead of assumptions. The goal is simple: show what exists today, how it works, and what documents support the numbers.
For retirement accounts, start with the basics: identify the type of plan (401(k), 403(b), 457(b), IRA, Roth IRA, SEP/SIMPLE, or a defined benefit pension) and provide statements close to the mediation date. Markets move, so a recent snapshot is more useful than one that’s months old. If an account has both traditional (pre-tax) and Roth (after-tax) components, note that. If there’s a loan against a 401(k), include the outstanding balance and repayment schedule so everyone can see the effect on value and cash flow. Employer plan documents matter too. A summary plan description or a plan statement that explains vesting rules, distribution options, and any restrictions helps avoid confusion about what can be divided and how.
Pensions require a different lens. A defined benefit plan usually needs an official benefit estimate as of a specific date. Distinguish between “accrued” benefits (earned to date) and larger “projected” figures that assume future service. If the plan offers cost of living adjustments, early retirement subsidies, or survivor options, flag those features because they affect value and division choices. Service dates are important; knowing when employment began, when it ended (if applicable), and what portion was earned during the marriage provides helpful context for discussion without deciding ownership questions on the spot.
Many divisions of workplace retirement plans use a court order directed to the plan administrator. Processes vary by plan, but it’s common to wait to move assets until the order is approved. That helps avoid unintended taxes or penalties. It may also be possible to place a temporary administrative hold during mediation to reduce the risk of changes while terms are being negotiated. These are practical questions you can raise early so timelines and expectations stay realistic.
Company stock, stock options, and restricted stock units sit near the retirement conversation and deserve their own mention. Grant dates, vesting schedules, performance conditions, and plan rules influence value and timing. A simple chart showing grant by grant details and current status can make a complex picture manageable. If shares are held in an employer plan versus a brokerage account, note where each bucket resides.
Business interests require both a snapshot and a story. Identify the entity type and ownership class, then share recent financial statements that match tax returns in period and presentation. If the books are on a cash basis, say so; if they’re accrual, confirm whether receivables, payables, and inventory are up to date. Note any onetime items that may distort a single year, such as relief funds, lawsuit proceeds, asset sales, or major write offs. If owner compensation is above or below market, or if personal expenses run through the business, transparency helps others understand what the enterprise truly generates. Bank debt, lines of credit, equipment leases, and personal guarantees should be identified so obligations are not overlooked.
Context beyond the numbers can be useful: customer concentration, key contracts, supplier dependencies, seasonality, backlog or signed work in the pipeline, and licensing or regulatory considerations. If there are operating agreements, shareholder agreements, or buy sell restrictions, those documents explain transfer limits and valuation rules that may apply to a buyout. Where confidentiality is a concern, parties often use redactions or targeted document sharing so the necessary information is available without exposing sensitive data broadly.
A practical workflow keeps the process moving. Keep retirement statements and business financials on consistent date ranges, label any estimates, and avoid guessing when a document is available. In financial disclosures mediation, those simple habits reduce friction and allow everyone to test options with confidence. If you want guidance on what to request from plan administrators or how to organize business records for mediation, Liberty Audette & Associates can discuss general requirements and help you think through timelines and next steps.
Mistakes That Undermine Your Position
In financial disclosures mediation, small missteps can quietly weaken an otherwise solid position. Most are preventable. The key is consistency, clarity, and timing. When the numbers are clean and the documents line up, the conversation stays on solutions instead of backtracking.
Waiting to start is the most common stumble. Banks, brokerages, plan administrators, and appraisers need time. If you request statements or benefit estimates late, you may end up sharing partial figures or older data. That slows everyone down and invites avoidable questions. Begin early, create a checklist, and set calendar reminders to follow up on outstanding requests.
Another issue is mismatched date ranges. If your checking account shows six months of activity but your credit cards only show two, it’s hard to compare cash flow. Pick a practical window and apply it across accounts. When you add an updated statement for one item, try to refresh the related accounts so they stay aligned.
Relying on estimates without support undermines confidence. Estimated values are fine if you label them as such and explain the method—for example, an average of the last three statements or a midpoint between two recent appraisals. When a source document exists, use it. Precision beats guesswork, especially for balances that fluctuate.
Overlooking “small” items can create gaps later. Tax refunds, accrued vacation or PTO, loyalty points, security deposits, pending reimbursements, and unvested equity awards don’t always translate directly into cash today, but they affect planning. A brief note that they exist and where to find the backup keeps expectations realistic.
Moving money during mediation—closing accounts, retitling assets, changing beneficiaries, or shifting large amounts between accounts—can cause confusion even when done for ordinary reasons. If a transaction is necessary, keep a clear record of what moved, when, and why, and share that context with the mediator so it doesn’t look like a discrepancy.
Redaction mistakes cut both ways. Redacting too little exposes sensitive information; redacting too much (like removing balances or dates) makes documents unusable. A practical rule: keep the last four digits of account numbers and the full transaction and balance data, but remove full account numbers and Social Security numbers unless a secure request is made.
Disorganization is another credibility drain. A folder of unlabeled PDFs forces others to dig for basics. Use clear file names (Institution, Account, and Last 4 Periods Covered), and consider a one‑page summary with totals and document sources. The extra hour you spend organizing can save a day of emails later.
Outdated or incomplete valuations lead to circular debates. If you’re using market based assets, statements close to the mediation date matter. For real estate and unique property, scope the appraisal that fits the issue—full interior for complex situations, desktop for straightforward ones—and agree on the valuation date to avoid shifting targets.
Retirement plan misunderstandings also loom large. A statement alone may not explain vesting, loans, or distribution rules. Request a summary plan description or plan statement that covers those specifics. It helps everyone evaluate division options that comply with plan requirements and avoid unintended taxes or penalties.
Budgets that don’t match reality can stall progress. If monthly expenses are rounded guesses, others will question the numbers. Build your budget from recent statements and bills, note any temporary spikes or reductions, and separate essentials from discretionary spending so tradeoffs are easier to weigh.
Side income and cash tips deserve a simple paper trail. Deposit records, calendars, or periodic summaries show a reasonable picture without overcomplicating things. If you’re missing a document, say so and note when a replacement was requested. A short log of requests and responses signals diligence.
When you’re unsure how to present something, ask early. A quick check on format, scope, or timing can prevent redo work and reduce friction in the room. If you want to talk through general requirements or practical next steps, Liberty Audette & Associates can discuss options and help you align materials with the mediation process.