Marital property

Marital property is considered property that is a part of the marital estate and subject to division in the event of a divorce.

Marital property refers to a specific type of property ownership system in equitable distribution states, where both premarital assets and assets acquired during the marriage may be considered subject to division in the event of a divorce, depending on a series of factors dictated by the state. Some factors may include the length of the marriage, earning potential of the parties, whether there are children, contributions to the marriage, etc. If it sounds like equitable distribution states have a lot of authority to decide what is considered marital and what is considered separate — that’s because they do. This is why a prenup is so important, because it allows you to decide what should be separate property and what should be marital property. In the event of a divorce without a prenup in an equitable distribution state, all assets and debts acquired during the marriage, along with premarital assets may be divided “equitably” between the partners. It’s important to note that the specific laws and guidelines for equitable distribution can vary from state to state.

The states that use equitable distribution as the method of dividing property in a divorce include: Alabama, Arizona, Arkansas, Florida, Georgia, Hawaii, Illinois, Indiana, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Missouri, New Jersey, New York, North Carolina, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, Vermont, Virginia, West Virginia.