Starting a new phase of life on the right foot can be difficult when it begins with a situation as emotional as a divorce. Separating your life from your spouse involves an end of a relationship. It also means that you will no longer depend on shared assets.
Learning how state laws divide and define marital property can help give you a clearer idea of the what your financial situation will soon look like.
Marital property examples
Marital property, like its name, includes assets a couple collects through the course of their marriage. Typical examples include a home, furniture, vehicles, bank accounts, retirement accounts, debts and investments.
On the other hand, there are assets that are not subject to division during divorce called separate property. Separate property includes items an individual enters a marriage with. It also includes gifts or inheritances given directly to a party either before or during their marriage.
System of fair division
Colorado is like most states in that it follows an equitable distribution system. Simply speaking, this means that the division of all marital property will be fair, but not necessarily 100% equal.
A judge will review several factors during the property division process to determine which marital assets each party will receive. This may include:
- Financial contributions to the marital estate and time spent taking care of the home and/or kids
- Awarding the family home to the parent who will raise the children most of the time
- Giving more assets to the spouse who is more likely to be unable to make ends meet
Each set of assets a couple acquires is unique and the details of their contributions vary greatly. But an experienced divorce attorney can provide clarity on specific concerns regarding your case.