When a couple decides to divorce in Nebraska, one of the most critical tasks is dividing their assets. But what exactly are “assets,” and how does the couple or court decide who gets what? In Nebraska, like in many other states, assets are divided into “marital,” “non-marital” and “mingled” or “commingled.”
Defining assets in Nebraska divorce
In Nebraska, courts follow the “equitable distribution” principle when dividing assets. This means that the division should be fair but not necessarily equal. Marital assets are those acquired by either or both spouses during the marriage, regardless of whose name is on the title. These include such things as the family home, cars, joint bank accounts and retirement funds. Non-marital assets, on the other hand, are those that one spouse owned before the marriage, as well as gifts or inheritances received by one spouse during the marriage.
The court considers several factors in deciding how to divide these assets, such as the length of the marriage, each spouse’s contribution to the marriage, and each person’s financial situation after the divorce. The goal is to ensure that both parties can maintain a lifestyle similar to what they had during the marriage.
Where mingled assets fit in
Sometimes, assets once considered non-marital become mingled or commingled with marital assets. When this happens, it can be challenging to determine how to divide them. Mingled assets blend or mix so thoroughly that they are now marital property.
Some examples of mingled assets include:
- Bank accounts: If one spouse had a savings account before the marriage and continued to deposit both personal and marital funds into it, the account may become marital property.
- Real estate: Suppose a spouse owned a house before and during the marriage, but both spouses contribute to the mortgage payments or renovations. In that case, the house could be marital property.
- Retirement accounts: If a spouse had a retirement account before the marriage but continued to contribute to it using marital earnings, those contributions might be marital property.
- Business interests: If one spouse started a business before the marriage, but it grew substantially during the marriage, the business could be treated as marital property.
Understanding how to defined and divided assets in a Nebraska divorce can help ensure a fair process.
There may be disagreements
It is always advisable to consult with a legal professional to navigate the complexities of asset division during divorce proceedings. This helps protect the client’s rights, non-marital assets and other interests.