If you’re facing divorce, you may be worried about what will happen to your assets. Will you have to split them with your spouse?
It’s important to understand the legal process of asset division in a divorce, so you can make informed decisions about your own finances. Here’s what you need to know about protecting your assets in a divorce.
- The first step is to determine what assets are considered marital property.
In most states, all assets acquired during the marriage are considered marital property, regardless of who owns them. This includes homes, cars, savings accounts, retirement accounts, and more.
There are some exceptions, though. For example, assets that were inherited or gifted to one spouse may not be considered marital property.
- Once you know what assets are considered marital property, you need to value them.
This can be done by hiring a professional appraiser or using online tools. It’s important to get an accurate value, as this will be used to determine how the assets are divided in the divorce.
- The next step is to decide how you want the assets to be divided.
You can either reach an agreement with your spouse or let the court decide. If you reach an agreement, it will be put in a divorce settlement agreement.
If you can’t reach an agreement, the court will use state laws to divide the assets. This is usually done equally, but there are some factors that can affect the division, such as each spouse’s income and needs. Need a divorce lawyer in Singapore? Book a free consultation here.
- Once you’ve decided how the assets will be divided, you need to take action to protect them.
For example, if you’re going to keep the house, you’ll need to refinance it in your name only. This will ensure that your spouse doesn’t have any ownership rights or claims to the property.
You should also consider updating your will and beneficiary designations. This will ensure that your assets are distributed according to your wishes, rather than being subject to the state’s intestacy laws.
- Finally, keep in mind that the division of assets in a divorce is not always final.
If your financial situation changes can always petition the court to modify the division of assets. For example, if you lose your job or your spouse gets a significant raise, you may be able to get a larger share of the assets.
By following these tips, you can protect your assets and ensure that they’re distributed according to your wishes.