Understanding Marital vs. Non-Marital Assets in Divorce

Divorce is a difficult process, compounded by the legal intricacies involved in dividing assets. One of the most challenging aspects is distinguishing between marital and non-marital assets. This distinction can significantly impact the financial outcome for both parties involved. In this blog post, we will explore the differences between marital and non-marital assets, how they are treated in a divorce, and why consulting with a mediation attorney in Orlando, FL, like Ilvento Law, can make the process smoother and fairer.
 

What Are Marital Assets?

Marital assets, also referred to as community property in some states, are all assets and properties acquired by either spouse during the course of the marriage. These assets are generally subject to equitable distribution upon divorce. It doesn't necessarily mean a 50/50 split, but rather a division that the court deems fair, considering various factors such as the length of the marriage and the financial situation of each spouse.

Common Types of Marital Assets

• Income earned by either spouse during the marriage
• Properties purchased together, such as a family home
• Retirement accounts and pensions accumulated during the marriage
• Businesses started or acquired during the marriage
• Investments, including stocks and bonds purchased during the marriage
• Shared bank accounts and savings
   

What Are Non-Marital Assets?

Non-marital assets, also known as separate property, are those owned by one spouse prior to the marriage or acquired individually through inheritance or gifts during the marriage. These assets are typically not subject to division in a divorce, although certain conditions can alter this general rule.

Common Types of Non-Marital Assets

• Properties owned before the marriage
• Inheritance received by one spouse, even if received during the marriage
• Gifts given specifically to one spouse
• Personal items acquired before marriage
• Separate bank accounts established before marriage
   

How Are Assets Classified in a Divorce?

The classification of assets as either marital or non-marital can sometimes be clear-cut, but often requires careful analysis, especially when the assets have been mixed or "commingled." For example, if one spouse owned a house before the marriage but both contributed to mortgage payments during the marriage, determining the asset's classification can become complex.

Commingling of Assets

Commingling occurs when separate property is mixed with marital property, leading to a change in its classification. For instance, if non-marital funds are deposited into a joint account and are used to pay for joint expenses, those funds might be considered marital property.

Transmutation of Assets

Transmutation refers to the transformation of separate property into marital property through actions taken during the marriage. An example is when a spouse adds the other's name to the title of a property they owned before marriage, which can indicate an intent to treat the asset as marital property.
 

The Role of a Mediation Attorney

Navigating the division of assets in a divorce can be emotionally taxing and legally complex. This is where the expertise of a mediation attorney comes into play. A mediation attorney helps both parties reach an amicable agreement without going to court, making the process less adversarial and more collaborative.

Benefits of Mediation

• Cost-Effective: Mediation is generally less expensive than a court trial.
• Time-Saving: Resolving disputes through mediation can be quicker than waiting for a court date.
• Confidential: Mediation sessions are private, unlike court proceedings which are public.
• Control: Both parties have more control over the outcome, compared to a judge's decision.

If you're facing a divorce in Orlando, FL, and need guidance on asset division, consulting with a skilled mediation attorney like Ilvento Law can help you understand your rights and options, ensuring a fair settlement.
 

Seeking Legal Assistance

Understanding the distinction between marital and non-marital assets is crucial in protecting your financial interests during a divorce. However, each case is unique, and the laws governing asset division can vary by state. Therefore, it's essential to seek legal advice tailored to your specific situation.

For those in Orlando, FL, Ilvento Law offers expert guidance and support in navigating the complexities of asset division in divorce. Their experienced mediation attorneys can help ensure a fair and equitable resolution, protecting your interests throughout the process.
 

Conclusion

Divorce is never easy, but understanding the difference between marital and non-marital assets can provide clarity and direction during a challenging time. By knowing what assets are subject to division and which are exempt, you can better prepare for the financial implications of a divorce.

If you're looking for a mediation attorney in Orlando, FL, contact Ilvento Law today for more information. Their expertise in mediation can facilitate a smoother, more cooperative divorce process, ensuring a resolution that respects both parties' rights and needs.