Year-End Divorce Planning for High-Asset Maryland Families: What to Do Before December 31st
November 10, 2025
Trust is one of the foundations of a healthy marriage. When that trust breaks down, especially around money, the emotional and financial consequences can be significant. For high-net-worth families, business owners, and professionals with substantial income or complex financial portfolios, hidden assets or “financial infidelity” can radically change the landscape of a divorce.
In Maryland, both spouses are expected to fully and honestly disclose their finances during a divorce. But not everyone does. Some spouses attempt to hide income, understate business revenue, manipulate financial statements, or move funds into difficult-to-trace accounts, including cryptocurrency. If you suspect that your spouse has been less than honest with money, you’re not alone, and there are steps you can take to protect yourself.
This article explains how financial deception happens, the red flags to look for, and the tools available to uncover hidden assets in a Maryland divorce.
Jump to Section:
- What Is “Financial Infidelity”?
- Why High-Net-Worth and Business-Owner Families Are at Higher Risk
- Red Flags That May Suggest Hidden Assets or Income
- Crypto and Digital Assets: The New Frontier for Hidden Wealth
- How Hidden Assets Are Discovered During a Maryland Divorce
- What Happens If a Spouse Hid Assets?
- If You Suspect Hidden Assets: Take These Steps Before Confronting Your Spouse
- For CPAs, Financial Advisors, and Other Trusted Professionals
- You’re Not Alone. Support Is Available
- About the Author
What Is “Financial Infidelity”?
Financial infidelity goes beyond ordinary disagreements about spending. It occurs when one spouse deliberately hides financial information, misrepresents assets or income, or makes significant financial decisions without the other spouse’s knowledge.
In high-income marriages, this can involve:
- Secret accounts or credit cards
- Excessive and unusual spending
- Undisclosed investment or cryptocurrency holdings
- Manipulation of business finances
- Large cash withdrawals or transfers to family or trusts
- Underreporting income, especially for business owners or independent contractors
Financial deception can have severe consequences during a divorce, especially when one spouse controls the finances and the other has limited access to information.
Why High-Net-Worth and Business-Owner Families Are at Higher Risk
Families with significant assets or multiple income streams often face unique challenges because finances are more complex and harder to track. Common circumstances that give one spouse opportunities to conceal income or assets include:
- Ownership of a closely held business or professional practice
- Income through distributions, K-1s, or deferred compensation
- Credit cards and gift card spending
- Use of multiple bank or brokerage accounts
- Investments in real estate, partnerships, or private equity
- Cryptocurrency, digital wallets, or offshore accounts
The more complex the family’s financial structure, the easier it can be to mask funds unless the other spouse knows what to look for.
Red Flags That May Suggest Hidden Assets or Income
Not every financial discrepancy signals wrongdoing, but certain patterns should prompt questions. Warning signs include:
Changes in Behavior
- Unusual secrecy around financial statements or online accounts
- New passwords or restricted access to shared accounts
- Sudden anxiety or defensiveness when money is discussed
Suspicious Financial Activity
- Cash withdrawals or repeated ATM movements
- Excessive gift card purchases
- Overpaying credit cards or taxes to generate future refunds
- “Loans” or transfers to family, friends, or a business
- Business income that suddenly drops without explanation
Lifestyle Doesn’t Match Reported Income
If your spouse claims the business is struggling but continues luxury spending, takes frequent trips, or acquires new assets, something may not add up.
If any of these patterns feel familiar, it may be time to get clarity before moving forward with divorce discussions.
Crypto and Digital Assets: The New Frontier for Hidden Wealth
Cryptocurrency has added a new layer of complexity to divorce cases. It is not as anonymous as many people believe, but it does require specialized knowledge to trace and value.
Spouses may try to hide assets by:
- Purchasing Bitcoin or other coins through digital exchanges
- Transferring crypto into private wallets
- Using NFTs or digital collectibles as an asset-hiding vehicle
- Investing in decentralized finance (DeFi) platforms
Because crypto leaves a digital footprint, a skilled legal, forensic, and financial team can often uncover it through:
- Bank and credit card records
- Email/transaction confirmations
- Exchange account statements
- Review of tax returns and IRS filings
- Forensic blockchain tracing
If crypto is uncovered during a Maryland divorce, it is treated as property subject to valuation and potential division.
Your Family. Your Rights. Our Priority.
Baumohl Hamburg: Trusted Family Law Representation in Maryland
How Hidden Assets Are Discovered During a Maryland Divorce
Maryland requires complete financial disclosure, but when trust is in question, additional steps can help ensure full transparency.
1. Document Requests and Formal Discovery
Financial documentation is exchanged early in the divorce process. If concerns exist, your attorney may request:
- Banking, brokerage, and retirement account statements
- Credit card records and loan documents
- Business financials, tax returns, and profit/loss statements
- Executive compensation and deferred income documents
2. Subpoenas and Third-Party Records
Subpoenas can be issued to employers, financial institutions, business partners, or accountants to verify information and obtain missing records.
3. Forensic Accountants
If assets are complex or suspected of being hidden, a forensic accountant may analyze:
- Cash flow and income patterns
- Business books and records
- Lifestyle vs. reported income discrepancies
- Crypto transactions or digital asset wallets
4. Business Valuations
For business owners, valuations can identify whether income is being artificially lowered, or assets are being diverted to reduce the value of the marital estate.
What Happens If a Spouse Hid Assets?
Hiding assets often backfires. If a court determines that a spouse intentionally concealed assets, there can be significant consequences, including:
- Unequal distribution of property to compensate the other spouse
- Payment of the other spouse’s attorney’s fees
- Damage to credibility with the judge in all aspects of the case
Maryland judges take financial dishonesty seriously. Transparency is expected, and deception can influence both the financial and custody components of the case.
If You Suspect Hidden Assets: Take These Steps Before Confronting Your Spouse
When financial trust is broken, it’s natural to want immediate answers. However, a thoughtful approach protects you and strengthens future negotiations.
Before raising concerns, consider:
- Gathering copies of financial records you already have access to
- Documenting changes or behaviors that concern you
- Speaking privately with a family law attorney experienced in high-asset and high income cases
- Avoiding confrontation that might lead to further concealment
Early legal guidance helps ensure that evidence is preserved and the proper steps are taken to obtain full financial transparency.
For CPAs, Financial Advisors, and Other Trusted Professionals
Advisors in finance, tax, real estate, and business often spot financial irregularities before anyone else. If something doesn’t look right, such as an unexplained income dip, sudden asset transfer, or inconsistent reporting, you may be in a position to gently encourage your client to seek family law guidance.
A coordinated professional team can help clients protect their financial well-being, especially when a divorce may be on the horizon.
You’re Not Alone. Support Is Available
Discovering financial dishonesty is painful and uncovering hidden assets in a divorce can feel overwhelming. You deserve a clear and honest understanding of your financial situation so you can make informed decisions about your future.
If you’re concerned about transparency, need help evaluating your financial situation, or simply want to understand your rights, we are here to guide you with discretion, experience, and a supportive approach.
Call us today at 443.940.2000, email us at harry@bahalaw.com or schedule a confidential consultation online. Let’s find the best way to move forward.
Serving families throughout Maryland in divorce, custody, and family law matters.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as legal advice. It is always recommended to consult with a qualified attorney for personalized guidance and representation in legal matters.
About the Author
Harry A. Baumohl, Esq., a founder of Baumohl Hamburg, LLC, stands among Maryland's elite family law practitioners, bringing: Over Four Decades of Proven Excellence; Established track record in complex family law matters; Strategic location serving Baltimore County and surrounding jurisdictions.
Specialized Expertise in High-Stakes Family Law Cases
- Complex divorce litigation for high-net-worth and high asset individuals and families with sophisticated asset division and financial untangling.
- High-conflict custody and parenting disputes.
- Prenuptial Agreements, Preventive Planning, Mediation and Collaborative Law solutions.
Distinctive Approach to Client Representation
- Results-driven methodology backed by decades of experience and success.
- Strategic thinking combined with emotional intelligence mixed with calm, measured guidance during turbulent times.
- Proactive communication and responsive client service.
Geographic Reach
- Primary office in Pikesville, Baltimore County
- Active practice throughout: Baltimore County; Baltimore City; Carroll County; Harford County; Howard County & Anne Arundel County.
Ready to benefit from Harry's unique blend of experience and strategic thinking?
- For Clients: Visit our website at https://bahalaw.com/. And for direct access feel free to schedule a confidential consultation to discuss your family law matters. Direct access to seasoned counsel who understands the complexities of Maryland family law. Harry@BahaLaw.com.
- For Professionals: Our firm welcomes strategic partnerships with attorneys and other professionals seeking experienced Maryland family law counsel for their clients. We offer comprehensive case collaboration and maintain the highest standards of professional service. For referral inquiries: Harry@BahaLaw.com
