Blog Migration

I have some exciting news, Life (tax and finance) After Divorce has migrated and become part of the suite of blogs provided by White, Zuckerman, Warsavsky, Luna and Hunt.  All of the same great content and support provided to divorced and divorcing individuals will be found over there along with  three other blogs as follows:

Forensic Forum is designed to provide information related to forensic accounting in family law matters.

Wealth Builder is designed to provide you with the latest tax planning ideas and other financial opportunities that can enhance your wealth.

CFO Corner is designed to provide information that will be of use to CFOs and other business operators and managers. We intend to provide information that will assist you in operating and managing your businesses covering a variety of issues from the world of business including business taxation, financial statements and GAAP, management, benefits, and other areas with an emphasis on streamlining efficiency and improving profits.

Please bookmark any or all of the above blog links and navigate to the lower left corner of our Blog Home Page under Newsletter to sign up for future email alerts to all of this great content as this blog will not be supported going forward.

 

How Long Should I Keep My Records?

I apologize for the long absence of any new content on this blog; however, I took a hiatus during tax season and have had a tough time getting back on track.  In any event, a client of mine recently raised a question which I believe may be relevant to many of you – how long should I keep my records?  If record space is a concern for you consider the following:

Generic tax rules

  • Keep all tax (or potential tax) records for three years from the later of April 15 (after the tax year) or when the original tax return was filed or after an amended tax return was filed.
  • Keep records for 7 years if you file a claim for a loss from worthless securities or bad debt deduction on the tax return.
  • Keep records for 6 years if you do not report income that you should report, and it is more than 25% of the gross income shown on your return. Yes the statute of limitations is extended if there is an understatement of tax in excess of 25%.  Hard to know what you don’t know but I assume this does not apply to any of you?
  • Keep records indefinitely if you do not file a return. If you didn’t file because you were below the filing thresholds, this should not be much of an issue.
  • Keep records indefinitely if you file a fraudulent return. Yes the statute never runs out if you commit fraud so please don’t do that!
  • If you have a business with employees you should keep employment tax records for at least 4 years after the date that the tax becomes due or is paid, whichever is later?

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Divorce with Children: Consulting With Mental Health Professionals

I recently attended a family law “study group” sponsored by White, Zuckerman, Warsavsky, Luna & Hunt and the speaker was a mental health professional who spoke on the subject of “reunification therapy”.  I thought she gave a good presentation and I asked her if she would care to provide a guest blog article covering the role of the mental health professional in marital dissolutions. She readily agreed and the following is her initial article:

Carolyn Cater Nishimoto, MSW, L.C.S.W.
1633 E. Fourth Street, Suite 144
Santa Ana, CA 92701
(714) 541-5582

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Financial Partners – Financial Advisors and Bookkeepers

One of your goals (whether undergoing divorce or not) should be to build your estate to achieve financial security.  This process quite simply involves increasing your income and budgeting that into cash which must be used to acquire income producing assets. While in the process of divorce it may be even more imperative to utilize the services of competent professionals to assist you in reaching financial security and managing your financial affairs.  In addition to a skilled and experienced Certified Public Accountant, you may want to consult with a Financial Advisor and/or a Bookkeeper. Continue reading

Introduction

Hello and welcome to my first blog post.  As noted in the “about” section the purpose of this blog is to provide support – primarily of a tax and financial nature, but occasionally pertaining to other issues as well – to separated and divorced individuals and their advisors.  I hope that this site can become a regular resource by providing not only good sound information in the blogs but also links to a variety of resources for individuals going through the same harrowing experience that you are.  I will be drawing from my many years of experience as a CPA and CERTIFIED FINANCIAL PLANNER™.  My firm White, Zuckerman, Warsavsky, Luna & Hunt is a leader in family law forensic accounting.  Continue reading