If you're getting divorced in New Jersey, you're going to hear these three letters pretty quickly: CIS. That stands for Case Information Statement, and it is one of the most important financial documents in a New Jersey divorce.
I often describe the CIS as the financial backbone of a divorce case because it puts your financial life on paper. Your income. Your expenses. Your assets. Your debts. The lifestyle you had during the marriage and the expenses you're dealing with now.
If alimony, child support, equitable distribution, or other financial issues are disputed, those numbers can become extremely important.
What Is a Case Information Statement?
The New Jersey Family Part Case Information Statement is a detailed financial disclosure form. In contested family cases involving issues such as support, alimony, custody, or equitable distribution, New Jersey Court Rule 5:5-2 generally requires the parties to file and serve a CIS. You can obtain the current form directly from the New Jersey Courts.
Don't let the fact that it's a "form" fool you into thinking it's unimportant. You're certifying that the information you're providing is true, and the numbers contained in the CIS can become part of the financial foundation of your case.
What Information Goes Into Your CIS?
Quite a lot. The CIS asks for information about your income and employment, taxes, assets and liabilities, monthly expenses, insurance, real estate, bank and investment accounts, retirement assets, debts, and other aspects of your financial situation.
One particularly important section deals with your expenses. The form asks you to distinguish between the lifestyle and expenses that existed during the marriage and your current expenses. That's important because the marital standard of living can become relevant to issues such as alimony.
This isn't the place to simply guess what you think you spend. Bank statements, credit card statements, tax returns, pay stubs, account statements, and other financial records can help you build a more accurate picture.
Why Accuracy Matters
I've had clients tell me that completing the CIS feels tedious. I understand. Most people would rather do almost anything than sit down and reconstruct months of household spending. Do it anyway.
If you say your family spent $500 per month on groceries when the records show it was closer to $1,500, that can distort the financial picture you're presenting. If an asset is missing, an account balance is wrong, or your income isn't accurately reported, that can create additional problems.
The goal isn't to make your finances look better or worse than they really are. The goal is to make the CIS accurate.
Your Supporting Documents Matter Too
The numbers shouldn't exist in a vacuum. The current New Jersey CIS requires supporting financial documents, including recent tax information and pay stubs, and other records may be necessary depending upon the financial issues involved in your case. That's why one of the most useful things you can do while preparing for divorce is organize your financial records.
Gather your tax returns. Pay stubs. Bank statements. Credit card statements. Mortgage information. Retirement and investment statements. Information about loans and other debts. The better the records, the easier it becomes to understand the actual financial picture.
Your Spouse's CIS Can Be Just as Important
You're not preparing a CIS simply because the court wants another form. In a contested case, both sides generally provide financial information. Once your attorney has your spouse's financial disclosures, the numbers can be compared.
What does each person earn? What does each person say the family spent during the marriage? What assets and debts are being reported? Are there significant differences between the two versions? Those questions can become important when negotiating alimony, child support, equitable distribution, and other financial issues.
The CIS Can Affect Temporary Support
Financial issues don't always wait until the divorce is finished. Sometimes one spouse needs temporary support while the case is pending. There may be disagreements about who pays the mortgage, household expenses, child-related costs, or other bills.
If the parties can't reach an agreement and someone asks the court for monetary relief, accurate financial disclosures become extremely important.
A judge needs reliable financial information to understand what each person earns, what the household costs, and what each person is asking the court to do. That's another reason not to treat your CIS as paperwork you simply need to get through.
Your CIS May Need to Be Updated
Your financial situation can change while your divorce is pending. Maybe you move out of the marital home and start paying rent. Maybe your income changes. Maybe an expense that existed when you first prepared the CIS disappears or a significant new expense arises.
New Jersey's rules impose a continuing obligation to disclose material changes to the information supplied in the CIS. So don't assume that once you've completed it, you'll never have to look at it again.
Don't Rush Through Your CIS
Take your Case Information Statement seriously. Read every section. Gather the supporting documents. Look at your actual spending. Ask questions when you don't understand what belongs somewhere. Most importantly, don't invent numbers simply because you want to finish the form.
Your CIS can follow your case through negotiations, support applications, settlement discussions, and potentially trial. It's worth taking the time to get it right.
If you're considering divorce in New Jersey and want to understand the financial and legal issues you'll encounter along the way, my free Divorce Smarter Course walks you through the process in straightforward terms.
Until next time,
Steve