Divorce and Distribution of Assets

Most states have guidelines about deciding how assets in a divorce will be distributed. That means that most experienced lawyers will be able to tell a couple how the assets would most likely be divided if they were to go to court. So even though the parties might never get to court, the court has some influence in the divorce. And in the end, if the couple can't agree on a fair and equitable distribution of assets, the court will have to decide for them.

That can get expensive fast.

Below is a short list of what factors are considered in most states when the court makes a decision about a fair and equitable distribution of assets.

1. How long did the marriage last?

2. Any prenuptial agreements (legally binding agreements signed before the marriage)?

3. The age, health, and employability of each spouse.

4. The lifestyle the couple had during the marriage.

5. All sources of income for each spouse.

6. The future chances of each spouse to earn money or get more assets.

7. The economic circumstances or financial situation of each spouse when the property will be divided.

The court has the tough job of deciding what is equitable - what is most fair. So an equitable distribution is about trying to be fair, not about who did what to whom in the marriage, or why it ended. Property distribution in most states falls along fairly standard state guidelines. Basically, in most states the idea is to try to get close to a fifty-fifty division of assets. If the parties can't agree, the court steps in and determines the value of property, or determines whether or to what extent some assets are separate. Then the court comes up with what it believes is an equitable distribution.

In some states, the larger share of the assets is given to the bigger wage earner. In some states, the larger share is given to the lower wage earner, with the thought that this person needs the additional head start.

Here are a few questions to consider when you think about the court's job in a divorce settlement:

What if one spouse has job experience as a carpenter and is now in a wheelchair and can't work?

How about a wife who always stayed home with the kids, and at the age of fifty-five she can't get a job that will pay the mortgage?

What if one spouse can barely make ends meet working as a line cook, but the other spouse has a good union job with

great health benefits and full retirement?

Let's look at another situation:

A couple is used to a nice lifestyle. They have an RV and take nice long vacations every year. They have a cleaning service and a person who mows the lawn. If they divorce, what kind of lifestyle should each of them expect? Is it fair to ask one party to live on $2,000 a month when he or she was used to living on $8,000 a month? Who should get what, or should both get approximately the same?

No wonder it's so complicated to figure out, and regardless of how the property or income ends up being divided, it seems both parties always feel they got the short end of the stick.

That is why it is so important to have a thorough understanding of your own assets prior to your divorce and to keep your expectations reasonable.

This article is brought to you by MATCHMAKING.