Generally, in a divorce, there are communal assets and separate assets. In New York State, all assets acquired during the course of a marriage are considered communal property. This is commonly known as shared property or marital property. Separate assets refer to property that is independently owned by one spouse. Today, distinguishing between separate property and the communal property has become more complex, due to more individuals having a significant number and range of assets.
Generally, in a divorce, there are communal assets and separate assets. In New York State, all assets acquired during the course of a marriage are considered communal property. This is commonly known as shared property or marital property. Separate assets refer to property that is independently owned by one spouse. Today, distinguishing between separate property and the communal property has become more complex, due to more individuals having a significant number and range of assets.
What Constitutes Separate Assets?
Separate assets are properties, funds, or investments that are solely owned by one person prior to marriage. In addition, separate assets are those that are inherited or acquired with personal funds or as a gift during the duration of the marriage. Furthermore, assets used by both parties or purchased through a shared bank account are typically considered communal property. It is important to remember that separate assets should never be co-mingled. Also, debt acquired prior to the marriage will be considered separate. This includes student loans or credit card debt.
Assessing the Assets
Usually, assets are divided according to each spouse’s circumstances. This means that the duration of the marriage, as well as economic status, will be taken into account. It is important to remember that there are no set guidelines governing the division of property. Every divorce is distinct in nature, which is why a court will evaluate the situation and divide the property accordingly. Due to this, certain “separate” assets may be deemed communal property by a court of law. Part of the process is evaluating the value of the separate property prior to dividing the communal property. For instance, a judge may award a primary earner less communal property when dividing the assets amongst the parties. However, in many circumstances, a court will usually look at separate assets as independent of the communal property when granting an award.
It is important to have an assessment of any assets or properties in order to determine the total value of the separate and communal property. An experienced lawyer, accountant, and financial advisor can assist with the process. These professionals can assist in determining which assets will constitute communal property that may be divided amongst the parties.
It can be overwhelming to navigate the divorce process. Seeking the guidance of an experienced New York divorce attorney is crucial to resolving issues. The divorce lawyers of McGuire & Peláez, PC are skilled in handling divorce and family court matters and will fight zealously for your rights. For more information or to schedule a consultation, contact our Long Island divorce law office at (631) 348-1702.
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