Dividing things in a divorce can be tricky. Pennsylvania has rules about what belongs to both people and what doesn’t. The state uses something called equitable distribution, which means everything is split fairly, but not necessarily in half.
Marital vs. separate property
Pennsylvania law distinguishes between marital and separate property. Marital property includes assets acquired during the marriage, regardless of who earned or purchased them. Separate property includes assets owned before the marriage, inheritances, gifts, and anything protected by a valid prenuptial agreement. However, if separate property is mixed with marital assets, it may become marital property.
Factors influencing property division
Courts consider several factors when dividing property. These include the length of the marriage, each spouse’s income and earning potential, contributions to the marriage (financial and non-financial), and the standard of living established. Fault in the divorce does not affect property division, but economic misconduct, such as hiding assets, may impact the court’s decision.
Handling complex assets
Some assets require unique consideration. Retirement accounts, pensions, businesses, and real estate may need professional valuation. If one spouse owned a business before the marriage but its value increased during the marriage, that increase may be considered marital property. Courts aim to distribute assets fairly while minimizing financial disruption.
Understanding what qualifies as marital property helps you make informed decisions. Keeping clear records of assets, avoiding the commingling of separate property, and considering agreements like prenuptial or postnuptial contracts can provide clarity. During a divorce, gathering financial documents and seeking professional appraisals can help ensure an equitable division.
