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Q: How are marital assets divided in divorce?

A: There are 9 Community Property states that divide marital assets equally. However, the other 41 states divide maritable property according to the principle of equitable distribution, which is based on the duration of the marriage, prior marriages of either party, age, health, occupation, amount and sources of income, vocational skills, employability, liabilities, and each of the parties’ needs. The court may also consider such factors as who played the biggest role in accumulating the assets, emotional value of specific items, alimony payments, child support obligations, tax consequences, and any other factor relevant to an equitable outcome. For more, read: Divorce: It’s Impact On Your Financial Plan.

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Jeremy Kisner, CFP

Jeremy is a lover of all things finance. He likes to play poker, go camping, and practice yoga, but he loves to talk economics and investment strategies even more.

Make sure to read his book, “A Good Financial Advisor Will Tell You” and check out an article quoting him in Barron’s or The Wall Street Journal.

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