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Understanding property division in California

On Behalf of | Mar 8, 2021 | Divorce |

Divorce can be a difficult process for couples to go through and they may have questions about how to divide their property and debt. There is helpful information available to explain how to navigate this process.

Property division

Sometimes, couples can agree on a property division that they each think is fair. The goal of property division is to ensure that each spouse ends up with an equitable amount of the value of the property and any debt they owe. This property can include real estate, bank accounts and other assets.

Rather than divide every account down the middle or physically separate property, it may be easier to add up the value of all of the property and then subtract the total amount of debt. Then, that amount is divided between the parties.

However, it is important to remember that just because a couple decides to divide debt between themselves, a creditor may not honor that agreement. Credit agreements are specific to the individuals’ circumstances, but an attorney can help address that portion of the property division.

Pensions

Also, couples may want to consider how pension plans will be divided if that applies to them. A pension may be more valuable than any other asset, however pension plans are subject to complex rules and must be addressed in a Qualified Domestic Relations Order.

Because of the consequences of making a mistake, it’s worth considering having an attorney prepare the order.

The attorney can also address other aspects of family law including child support and visitation, prenuptial agreements and spousal support. Although the process may seem overwhelming, there is help available.

 

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