Divorce

Generally, in “community property” states, which assets and debts acquired during marriage are divided equally in a divorce. However, each spouse can generally keep his/her separate property, which can include assets obtained before marriage (if they were kept separate from community property assets); income obtained from any separate property that was owned prior to the marriage; property that one spouse acquired during marriage by inheritance or gift. In many states that go by a community property standard, there is a presumption that any property purchased by either spouse during the marriage is community property. However, if the couple separates (and are living “separate and apart” from each other), it may be possible that earnings and property acquired during this separation may be considered separate property.