Divorce can take a financial and emotional toll on everyone in the family. The process of ending a marriage can also be complicated since state regulations determine who gets certain assets or property and which parties are responsible for the debt after the divorce. If you’re a Florida resident, here are some important things you should know if you’re preparing for a divorce.
What is equitable distribution?
Equitable distribution is a system several states use to divide assets during a divorce. However, the term “equitable distribution” does not necessarily mean that all marital property is divided down the middle. This distribution process considers the divorcing couple’s debts, assets, needs, and the financial contribution each party made to the party as well as how long the marriage lasted. The equitable distribution also factors in each party’s earning power and future employability, along with each individual’s saving and spending habits.
States with equitable distribution
Most states follow equitable distribution guidelines. States that don’t use this model are known as community property states. These states are Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin. Puerto Rico, which is a US territory, also follows community property rules. Couples in Alaska who are facing divorce can decide if they want to follow community property standards.
All other US states practice equitable distribution.
If you’re getting a divorce in an equitable distribution state, there are a few important things to remember. The process of distribution is to keep the division of assets fair, so all your property may not be split down the middle. This means the courts will seek to give you the property you came into the marriage with and give you a fair portion of the assets attain in the marriage.