Marriage is a beautiful union between two people who love each other and want to spend the rest of their lives together. However, as much as we would like to believe that love conquers all, the reality is that sometimes marriages end in divorce.
When this happens, one of the most contentious issues that couples have to deal with is the division of assets. This is where the concept of marital property comes in.
What is Marital Property?
Marital property refers to any property that is acquired during the course of a marriage. This includes anything that is bought after the wedding day with money earned during the marriage, such as houses, cars, and investments. If a spouse invests time or money into something that they owned before the marriage, that asset can become marital property.
For example, let’s say that John owned a house before he got married to Jane. After they got married, Jane contributed to the mortgage payments and helped with the upkeep of the house. In this case, the house would be considered marital property, and both John and Jane would have a claim to it in the event of a divorce.
What is Non-Marital Property?
Non-marital property, on the other hand, refers to anything that is owned exclusively by one spouse before or during the marriage. This can include assets such as inheritance, gifts, and property that was acquired before the marriage. Non-marital property is not subject to division in the event of a divorce.
However, it is important to note that non-marital property can become marital property if it is commingled with marital property. For example, if one spouse inherits a large sum of money and deposits it into a joint bank account, that money becomes marital property and is subject to division in the event of a divorce.
How is Marital Property Divided?
The division of marital propertyis subject to state laws, and the process can vary depending on where you live. Some states follow the principle of equitable distribution, while others use community property laws.Equitable distribution means that assets are divided fairly but not necessarily equally. The court will consider various factors, such as the length of the marriage, the earning capacity of each spouse, and the contributions of each spouse to the marriage.
Community property laws, on the other hand, require that all assets acquired during the marriage be divided equally. This means that each spouse is entitled to 50% of the marital property, regardless of the circumstances of the divorce.
Factors that Affect the Division of Marital Property
As previously mentioned, the court will consider various factors when determining how to divide marital property. Some of the most common factors include:
– The length of the marriage
– The age and health of each spouse
– The earning capacity of each spouse
– The contributions of each spouse to the marriage (financial and non-financial)
– The standard of living established during the marriage
– The custody arrangements for any children
– Any prenuptial or postnuptial agreements
Types of Marital Property
Marital property can be divided into two categories: tangible and intangible. Tangible property refers to physical assets such as real estate, cars, and furniture. Intangible property refers to assets that have no physical form, such as stocks, bonds,and intellectual property.
The Importance of Understanding Marital Property
Understanding marital property is crucial for anyone going through a divorce. Without this knowledge, one may not know what assets they are entitled to and what assets they must give up. In addition, it is important to have a clear understanding of what assets are considered marital property and what assets are not.It is also important to seek legal advice when going through a divorce.
An experienced divorce attorney can help you navigate the complex process of dividing marital property and ensure that your rights are protected.In conclusion, the division of marital property is a complex process that can be emotionally charged. Understanding what constitutes marital property and what factors are considered in the division of assets can help you make informed decisions during a divorce.
Seek legal advice to ensure that you receive a fair settlement and that your rights are protected. Remember, divorce may be the end of a marriage, but it doesn’t have to be the end of your financial stability.
