Handling The Division Of Assets And Liabilities
Minnesota is an equitable division state when it comes to the division of assets and liabilities in divorce. Equitable division means assets and liabilities are divided in a way that is fair, which is not automatically a 50/50 split between the parties.
When you contact Hill Crabb, LLC, we will help clarify some of the misconceptions about property division and educate you about how your property may be divided. Our attorneys and staff help individuals in Edina, the Twin Cities and throughout Minnesota divide their debts and property during divorce.
Marital Versus Nonmarital
Marital property includes all assets and liabilities that were incurred during the course of the marriage. It does not matter whether an asset or liability is held in the name of one spouse or both. Examples of marital property include:
- Bank accounts
- Retirement accounts
- Investment accounts
- Real property, such as cabins and vacation property
- Business interests
- Motor and other recreational vehicles
- Airline miles
- Hotel points
- Credit card debt
Nonmarital assets and liabilities are those that were incurred outside the marriage. Assets obtained during the marriage may be excluded from being considered marital property if named in a prenuptial or postnuptial agreement, if gifted specifically to one spouse or if inherited.
Considering Tax And Other Financial Consequences
The division of marital property is one of the most complicated areas of divorce. There can be tax and other financial consequences associated with decisions regarding marital property. In many cases, additional documentation and filings are required to properly effectuate a marital property settlement.
We work with clients to accurately valuate financial investments, including plans that do not have an immediate financial value and plans which will change in value. Our firm also drafts and files qualified domestic relation orders (QDROs) to help ensure our clients receive their fair share of investments.