When a marriage ends, one of the many concerns a soon-to-be former couple generally has is their future financial security. It’s natural for couples to worry about their portion of their marital property and whether the property division will be fair.
Property division follows an equitable distribution principle for couples divorcing in the Garden State. This doesn’t necessarily mean that marital assets will be divided down the middle. The family courts have criteria to help determine that property division is fair.
What is marital property?
Some spouses might wonder what makes property marital or separate. Well, as the name denotes, marital property is all assets that a couple accumulated in the course of their marriage. Separate property, on the other hand, belongs to one spouse and will not be subject to division during divorce. It’s important for couples to remember that marital property also includes debts accumulated during the marriage. Some examples of separate property that are exempt from division during divorce include:
- Any assets spouses already had under their name before marriage
- Inheritances and gifts that spouses received in the course of the marriage
- Property specifically outlined in a prenuptial or postnuptial agreement as separate
That said, couples should note that some separate properties might have been converted into marital property during the marriage. This can happen when these separate assets commingle with marital assets. Suppose one spouse uses marital funds to furnish a residential property they owned before the marriage. In that case, the separate property has commingled with marital assets and may be considered marital property.
The equitable distribution process
New Jersey family courts have criteria to help ensure that property division during division is fair. A key consideration during property division is how long a couple’s marriage lasted before they filed for divorce.
This is important because the longer a marriage lasted, the more interdependent the couple had grown to be. Courts also consider the age and health of each spouse in relation to their financial security post-divorce. Younger spouses are believed to still have the stamina to sustain themselves, while older spouses might have fewer career opportunities.
Anticipating property division concerns during a divorce can fill spouses with worry and concern. Luckily, they can have all their burning questions answered by a trusted legal group. A knowledgeable legal team can help divorcing spouses understand what qualifies as marital property and how the equitable distribution process works.