One of the most common concerns people have as they prepare for divorce is regarding their personal property. You do not want to lose your possessions and the things that are important to you in a divorce, but in reality, you may not be able to control what happens to everything you own. The primary factor in the division of property and assets is determining whether specific things are marital or separate property.
The terms of a property division order are important. They can affect your future significantly, which is why you would be wise to pursue terms that make the most sense long-term. Even if you have a rightful claim to a specific asset, that does not necessarily mean it is the most prudent course of action to keep it.
Separate versus marital property
Marital property is any asset you and your spouse earned, bought or accumulated over the course of your marriage. It can include everything from the home you purchased to your retirement savings, as well as smaller possessions such as collectibles, vehicles and more. Anything that is marital property is subject to division in a divorce, but it may be possible to reach a negotiated agreement that is beneficial to both parties.
Separate property includes all assets that are not subject to division in a divorce. This includes property the two spouses owned before marriage or an inheritance left to one spouse. However, the comingling of assets and how the two parties use separate assets during marriage could give one or the other spouse the right to seek a share of this property. Many property-related conflicts during a divorce stem from confusion or disagreement over the categorization of specific assets.
A strong post-divorce future
Your goal is to pursue a strong post-divorce future for yourself and your children. Part of this includes seeking a fair property division order that allows you to feel confident regarding your interests. When pursuing a specific outcome for the division of marital property, you may benefit from considering the potential long-term impact of retaining certain assets. Tax penalties, possible upkeep costs and other expenses should inform your decisions regarding property division.
If there is any concern or dispute regarding the division of marital property or which assets are separate, it may be helpful to seek an understanding of Colorado property laws and how they could impact your specific case.