The division of marital assets and liabilities is an important aspect of a Dissolution of Marriage action. Under Florida law, the starting point is to equally divide those assets and liabilities which were accumulated during the marriage as a result of the fruits of the parties' labor, in most cases their salaries. Florida is a "no-fault" divorce state so these assets and debts are divided "equitably" either by agreement or by the court. An equitable division simply means a fair division under the particular circumstances in a marriage. This also means that most property acquired during the marriage is considered "marital" property and will be equitably divided. Certain property brought into the marriage will, in most instances, be considered "non-marital" and you won't have to split those assets with your spouse. Also, personal gifts and inheritances to one spouse by a third party will be considered non-marital property, as well as any property that he spouses agree in writing is the personal property of the other.
In appropriate circumstances, we seek an unequal division of the marital assets and liabilities, especially when there is a need for lump sum alimony as an element of support or if the other party has dissipated (wasted) marital assets. Some spouses are able to agree on the equitable division of marital property while others are not. If there is no marital property agreement, then the court will divide the property after considering a number of factors including:
- Assets and debts of each spouse
- Business valuation, business interests, and self-employment
- Valuation of retirement accounts, 401 (K) plans, pensions, stocks and bonds
- Future financial needs and liabilities of the parties
- Grounds for divorce
- Liquidity and tax consequences
- Contribution to the education or earning power of the other spouse
- Contribution to the value of the marital property
- Premarital and prenuptial agreements, separate property, gifts and inheritance
- Spousal maintenance, spousal support or alimony obligations.
The financial aspects of divorce are similar in many ways to the dissolution of business partnership. If you plan to claim property is "non-marital" it is important to keep good records and obtain an attorney's advice. The Baird Law Group offers divorce planning services to help minimize the effect of the divorce on your finances. Contact us to go over the details of your case.
