The rules for dividing property in a divorce have changed over time. It is no longer just about who gets the house or the car. Today, courts look at many different things that hold value. Understanding these rules is a vital part of protecting your future during a divorce.
What counts as marital property today?
Broad definitions. Property in a divorce now includes almost anything that has monetary value. It is not limited to physical items like furniture or vehicles.
Modern items. The definition of property has grown to include digital wealth. This means things that exist online or in electronic form are part of your marital estate.
How does electronic wealth affect a divorce?
Digital assets. Many people do not realize that electronic wealth is part of a divorce. This includes cryptocurrency and other forms of digital money that did not exist in the past.
Equitable division. Even if digital currency feels complex, it is treated like any other asset. If you bought it during your marriage, it is subject to equitable division by the court.
What are some examples of non-traditional property?
Hidden value. Some assets are easy to overlook because they are not physical cash or bank accounts. You must account for items that carry real value, even if they are not traditional investments.
- Casino credits and player perks.
- Airline frequent flyer miles.
- Digital currencies like Bitcoin.
Why is cryptocurrency difficult to divide?
Rapid fluctuations. Cryptocurrency is unique because its value can change very quickly. This makes it different from steady assets like a traditional savings account.
Moving assets. These assets can be moved instantly, making them harder to track. You must ensure all digital assets are properly identified during your divorce proceedings.
Are digital assets treated like physical assets?
Equal treatment. The law treats digital currency acquired during the marriage just like a piece of gold or a physical item. It is a marital asset that must be divided.
The standard. If you purchased it while married, it is considered marital property. The court will include it in the overall division of the estate.
What happens with tangible investments like gold?
Physical assets. Tangible items like gold bars bought during the marriage are clearly marital assets. They are subject to division by the court just like any other property.
Clear value. Unlike digital items, gold is easier to see and appraise. However, the legal requirement for division remains the same as any other form of wealth.
How does a certificate of deposit compare?
Maturity and interest. A certificate of deposit (CD) bought during your marriage has specific rules. It has a maturity date and interest gains that create a divisible value.
Division process. Because this value is measurable, the court can easily divide it. You should account for every CD held by you or your spouse.
How can you ensure all assets are accounted for?
Full analysis. You must look at every part of your financial life to ensure nothing is missed. This includes non-standard holdings that may seem small but add up to significant value.
- Review all electronic accounts.
- Check for airline and casino rewards.
- Appraise all digital investments.
Example scenario: A couple bought several thousands of dollars in cryptocurrency during their marriage using joint funds. Because this was purchased while they were married, the court required an accurate appraisal of the coins to divide the value fairly between both parties.
How do courts view these expanding definitions?
Modern estates. When courts look at a marriage today, they see a wide range of assets. The legal definition of property keeps growing to keep up with how people save and spend money.
Legal evolution. Because the landscape has evolved, you must be prepared to disclose all assets. Courts will incorporate all non-standard holdings to ensure the final division is fair.
The most important takeaway is that your marital estate is likely larger than you think. You cannot focus only on real estate and bank accounts while ignoring digital wealth and rewards programs.
Failure to identify these items can lead to an unfair distribution of your property. Ensure that every digital asset and non-traditional holding is properly valued and brought before the court.
If you need help with property division, contact Goldman Law. Call or text us at (248) 590-6600. You can also schedule a free consultation at this link or visit our website at https://akivagoldman.com/.
Frequently Asked Questions
Does property division only include physical items? No, property division now includes digital assets and electronic wealth. This covers things like cryptocurrency, frequent flyer miles, and casino credits.
Is cryptocurrency considered a marital asset? Yes, cryptocurrency acquired during the marriage is a marital asset. It is subject to equitable division by the court just like traditional property.
Why is cryptocurrency hard to track in a divorce? It can fluctuate in value very rapidly. Additionally, these assets can be moved quickly, making them difficult to locate if not disclosed.
Are airline miles and casino credits worth anything in court? Yes, these items carry real monetary value. Courts will account for these as part of the total marital estate.
What happens to a gold bar bought during the marriage? A gold bar is a tangible marital asset. The court will include it in the equitable division of your property.
How is a certificate of deposit divided? A certificate of deposit bought during the marriage has a specific interest gain and maturity date. The court divides the measurable value of the CD between the parties.
Does the definition of property change over time? Yes, the legal definition of property continues to expand. It now includes many non-traditional holdings that did not exist or hold value in the past.
Must I disclose my electronic wealth to the court? Yes, all marital assets must be accounted for and appraised. Failing to include non-standard holdings can impact the fairness of your settlement.
Are all assets purchased during the marriage subject to division? Generally, property acquired during the marriage is considered marital property. This includes digital investments and physical assets alike.
Is appraisal required for digital assets? Yes, cryptocurrency must be accurately appraised to determine its value. An accurate valuation ensures the court can divide the estate correctly.
Can I hide my digital assets from the court? You must disclose all assets during your divorce. Courts expect an honest accounting of all electronic and physical wealth.
Why is it important to talk about non-traditional property? Discussing these items ensures you do not overlook significant wealth. It helps the court reach a truly equitable distribution of your marital estate.