How to Divorce With Separate Bank Accounts & Splitting Property
Divorce is an emotional and stressful time for anyone. One looming issue in all divorces, however, is how to divide property among both parties. In every marriage, there is separate property and community "marital" property. Separate property remains with the person who owns it, but marital property is divided between the spouses. How marital property is divided depends on whether your state is a community property state or an equitable distribution state. However, all courts encourage couples to come to an agreement on how to split the property amongst themselves outside of court.
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Instructions
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Research the laws of your state to find out whether your state is a community property state or an equitable distribution state. The majority of states are equitable distribution states, meaning the courts divide marital property by what is fair, rather than a straight 50/50, which is how marital property is divided in a community property state. It is important to understanding how the court will divide your marital property at divorce when trying to negotiate with your estranged spouse on how to divide your marital property.
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Identify what property is considered separate property and what property is considered marital property. Separate property is anything a spouse owned prior to the marriage or after separation, with one exception. Gifts and inheritances made during the marriage are also separate property. Everything else is considered marital property and must be divided at divorce. However, even if something is technically marital property, you and your spouse can agree to treat it like separate property during divorce. For example, if you and your spouse both have separate bank accounts, although the money in those accounts is considered marital property, you can agree to make it separate property. As a result, each spouse will retain the money in their respective account and will have no claim to the money held in the other account.
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Negotiate a reasonable and fair property settlement agreement with your estranged spouse. The agreement must split all marital property between the both of you. Work together to come to an agreement regarding splitting property, offering to give up some property in exchange for other property, and so on. If you are unable to successfully negotiate between yourselves, consider hiring a professional mediator. Also keep in mind that the court still has to approve the suggested property distribution, so take care to make sure it mirrors the state laws you researched in Step 1.
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Submit your tentative property distribution agreement with your petition for divorce. Copies of divorce petitions are available at the courthouse, online and anywhere blank legal documents are sold.
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References
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