Divorce is an emotional rollercoaster, a legal labyrinth, and a financial puzzle all rolled into one agonizing legal process. One of the aspects of divorce that makes the process incredibly challenging is the division of marital assets. This is where you and your spouse divide what you jointly own as a married couple.
One of the ways we serve to make this process easier for you is by giving you the option to divide your assets online. You can avoid heartache by doing work online and managing them at a time that suits you. To learn more about how it works and the various types of marital assets, check out Untying the Knot‘s online services.
#1. Tangible Assets
Tangible assets are items that are physically ‘tangible’ as their name implies. This can include three subtypes of assets:
- Real Estate: The family home is often the most significant asset to consider. We also consider other properties bought during the marriage, such as vacation homes, rentals, or land. Investors can sell these properties and convert them into financial assets.
- Vehicles: Assess the value and ownership of vehicles such as cars, motorcycles, boats, and others. You may have to sell certain vehicles if you cannot agree on who will receive what. This will turn them into financial assets that can be more fairly quantified and split.
- Personal Belongings: Tangible assets include personal belongings like furniture, jewelry, art, and collectibles. They hold both economic and sentimental value and require thoughtful appraisal and division.
#2. Financial Assets
Financial assets are dollar amounts or items that hold easy-to-quantify dollar amounts. The dollar amounts don’t need to be the same, just measurable at any time to be a financial asset. Other types of marital assets often transform into dollar amounts or cash values, thereby becoming financial assets.
- Bank Accounts: During a marriage, couples can divide joint checking or savings accounts to split the accumulated cash assets.
- Investments: You need to evaluate and split investments such as stocks, bonds, mutual funds, and other investment accounts appropriately.
- Retirement Accounts: Splitting retirement accounts can be complicated and may need help from a professional to assess their worth and divide them.
#3. Business Assets
If you or your spouse own a business, determining its value and how it figures into the marital asset pool is vital. There are several different types of businesses and ways to own a business, so these assets are not one size fits all.
- Sole Proprietorships: The assets and liabilities of sole proprietorships often mesh with personal finances, complicating the division process.
- Partnerships: A partner’s interest in a business venture will be part of the asset division.
- Corporations: Stock options, shares, and the valuation of corporate interests can have a significant impact on asset division proceedings.
#4. Intellectual Property
Capturing the value of intellectual property requires determining what was created during the marriage and its potential worth.
- Copyrights: Works of authorship like books, music, and software may need to be evaluated.
- Trademarks: Business-related trademarks develop value over time and must be considered.
- Patents: Patents can potentially have high monetary value and are included in asset divisions if obtained during the marriage.
#5. Debts and Liabilities
When you divorce, you don’t only divide what you own together, but also what you owe as well. Any debts you have incurred during your marriage must be split between you and your spouse. With certain debts, you have to settle these before you can divide your assets. This way you’re dividing what assets you have left rather than what you’re going to end up selling.
- Mortgages: Property loans will need to be paid. This can potentially require the sale of the property or refinancing, which overrules how you and your spouse want to split it. This is often why people have to sell their homes during divorce.
- Loans: Personal and business loans taken out during the marriage are part of the division process.
- Credit Card Debt: Shared credit card debts are factored into settlements. Similar to mortgages, they are often subtracted from the asset pool if they cannot be personally paid off.
#6. Pension and Retirement Benefits
Long-term benefits plans require careful legal considerations. Some types of plans cannot be altered even post-divorce so they need to be dissolved and split.
- Defined Benefit Plans: Calculating the present value and dividing the expected future payments can be intricate.
- 401(k) Plans and IRAs: These plans have defined contributions, which may be easier to value and divide relative to defined benefit plans.
Check Out Untying the Knot’s Divorce Services
Splitting marital assets in a divorce is usually a long and complicated process. With our online services, we can streamline this process.
So, if navigating the asset division landscape seems daunting, Untying the Knot is here to help. Our online divorce service is designed to streamline the intricate processes involved in legally parting ways.
For detailed support and guidance tailored to your unique situation, visit our website. Take control of your divorce process.