Is Indiana a community property or equitable distribution state?
Now, Indiana is an equitable distribution state for the division of marital property, not a community property state. We have explained equitable division in a previous article here . But this does not necessarily apply to settlement agreements.
Which states adopt equitable distribution?
Most states adhere to equitable distribution. States that do not use the equitable distribution model are what’s called community property states. Community property states in the U.S. are Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin. The territory of Puerto Rico follows community property principles.
What is equitable distribution in a divorce?
Most states follow equitable distribution rules. In these states, equitable doesn’t necessarily mean equal. A judge will divide property fairly or equitably, rather than equally or 50/50 between the spouses.
How are assets divided in an Indiana divorce?
Indiana divides marital assets via equitable distribution, which means that the court attempts to divide marital assets in a fair and equitable manner between the spouses, taking multiple factors into account in order to determine the equitable distribution for each spouse.
How does Indiana divide assets in divorce?
Indiana is a “one-pot” property division state, so the court will begin with a presumption that all property is marital property and that it should be divided equally. But this can be overcome and will not necessarily mean that the final division will be equal.
Is Indiana a community property state or equitable distribution state?
Even though Indiana law doesn't recognize community property, it does require courts to determine an "equitable property division." More specifically, property is divided in a "just and reasonable" manner. In most cases, this means that each spouse gets about half of everything they own.
Is Indiana a 50 50 state when it comes to divorce?
Indiana is NOT a community property state, which means that marital property is not automatically divided 50/50 between the spouses in a divorce case.
Does inheritance get split in a divorce in Indiana?
Dividing Assets in a Divorce Usually, all of your combined assets are then split equally. But, Indiana courts can take into consideration inheritance situations when deciding how to divide marital assets. In some instances, an inheritance can be spared from being split down the middle.
Does adultery affect divorce in Indiana?
Adultery Laws in Indiana Unlike some other states that have retained fault-based grounds for divorce, infidelity is not grounds for divorce in Indiana. The only time adultery has an impact on a divorce case is if one spouse used marriage assets to pay for the affair.
How much is a wife entitled to in a divorce in Indiana?
50-50%Generally, the Court will divide the property and debts of the marriage on a 50-50% basis. The Court can give more than 50% to one spouse if the Court has good reason to do this.
How long do you have to be married to get half of everything in Indiana?
There is no statutory definition for a “long” marriage in Indiana that would entitle a person to a “full” share of assets in a divorce. In theory, the same rules apply to a marriage which lasts one day and one which lasts 40 years.
How is spousal support calculated Indiana?
The duration of payments is determined by a judge in Indiana family court. Alimony length is usually based on length of marriage - one commonly used standard for alimony duration is that 1 year of alimony is paid every three years of marriage (however, this is not always the case in every state or with every judge).
Does it matter who files for divorce first in Indiana?
Yes. It does not matter who files for divorce; the wife can get her maiden or former name back as part of the final divorce as long as she asks the court to do this.
Who gets the house in an Indiana divorce?
The court will generally divide the marital property in half, and each spouse will get one half of the total property. This doesn't mean each item will be split in half; one spouse might get the car and the other spouse might get the furniture.
Is a house owned before marriage marital property in Indiana?
Effectively, this statute means that no asset is outside of the court's reach to divide or award to either party. If you own a house prior to your marriage, once you are married, that house becomes marital property. If a house is purchased and only one party's name is on the house, it is still marital property.
Is Indiana a spousal state?
Does Conduct Of Parties During Marriage Affect Distribution of Marital Property? Indiana is considered a no-fault state for divorce. This means that the parties can just allege that there has been an irretrievable breakdown in the marriage rather than alleging a reason for the divorce.
How does Indiana divide marital assets?
Indiana divides marital assets via equitable distribution, which means that the court attempts to divide marital assets in a fair and equitable manner between the spouses, taking multiple factors into account in order to determine the equitable distribution for each spouse.
What factors are considered when dividing marital property in Indiana?
Factors such as one spouse's economic misconduct may also be considered. In practice, judges in an equitable-distribution state like Indiana often divide marital property with approximately 2/3 of marital assets going to the higher-earning spouse, and 1/3 going to the lower-earning spouse.
What is a prenup in Indiana?
A prenup containing a property division agreement can take precedence over Indiana's property division laws by establishing what is considered as separate vs marital property, as well as agreeing on how finances will be structured during the marriage and divided in the event of a divorce. The existance of a valid prenuptual agreement can prevent ...
What is the fault of one spouse in Indiana?
Marital Fault - In states that allow at-fault divorces, the fault of one spouse may be used by the judge to justify a higher percentage to the injured spouse. Economic Misconduct - In Indiana, spouses who wastefully or fraudulently spent marital assets may receive a lower percentage of the marital property.
What is marital property in Indiana?
Under Indiana law, marital property is that which is acquired or is a direct result of the labor and investments of the parties during the marriage is subject to equitable division. Equitable division does not mean marital property is divided equally, it is divided in manner that results in a fair or equitable result for each spouse.
What is property division in Indiana?
What is property division in a Indiana divorce? Also known as equitable distribution, property division is the process of dividing property rights and obligations between spouses during the process of a divorce. Property division may be agreed upon between the soupses through a property settlement, or it may be decided in court during ...
What happens if my spouse doesn't comply with a property division order?
If your spouse is not complying with a property division order, you can consult a family lawyer to discuss potential legal avenues.
What is equitable distribution?
Equitable Distribution: The Basics. Equitable distribution is a legal term that describes the process of dividing marital property and debt in the event of a divorce. While the term may suggest otherwise, the term equitable distribution doesn’t necessarily mean dividing all marital property down the middle.
Is divorce emotionally draining?
Rachel CauteroMar 31, 2020. Share. The process of divorce can be emotionally and financially draining. It can also be very complicated, as state laws tend to dictate who gets what property, assets and even debt in a split. Equitable distribution is a system by which many states divide property during a divorce.
Are Non-monetary Contributions Considered as Equitable?
In Indiana, statutory law requires judges deciding a property division case to account for the non-monetary contributions of both spouses to a marriage when determining how to divide property between them. This usually means that the court will consider the value of the labor a stay-at-home spouse contributed to the marriage.
Is Economic Misconduct in Considered in Equitable Property Division?
The State of Indiana allows courts to legally consider any form of economic misconduct of a spouse as a factor in determining an equitable property division in the divorce. Economic misconduct generally means how assets assets are used.
Are Education Contributions Considered for Equitable Distribution?
Indiana has no statute requiring courts to consider a spouse’s contributions to their partner’s education or earning capacity when determining the equitable distribution of marital property.
Do Prenuptial Agreements Affect Equitable Property Division?
A prenuptial agreement, or pre-nup, is a binding legal contract signed by both spouses prior to getting married in Indiana.
How are Equitable Property Division Orders Enforced in Indiana?
An equitable property division order in Indiana is a court order that is issued by a judge, that describes how property is to be divided between the spouses after a divorce. Property division orders are a binding legal obligation.
What is the income share model for child support in Indiana?
This formula uses weekly gross income of the parents and the number of children for which support is required. Deductions are made for child support paid to other children and maintenance paid to other spouses.
What is the economic circumstance of each spouse at the time of the disposition of the property?
the economic circumstances of each spouse at the time of the disposition of the property, including the desirability of awarding the family residence or the right to dwell in the family residence for such periods as the Court considers just to a spouse having custody of any children.
What is the definition of a spouse's contribution to the acquisition of property?
the contribution of each spouse to the acquisition of property, regardless of whether the contribution was income producing. the extent to which the property was acquired by each spouse before marriage or through inheritance or gift.
What is the parenting time law in Indiana?
Indiana uses Parenting Time guidelines which subscribe to the belief that it is usually in a child’s best interests to have frequent and meaningful contact with each parent. A parent who is not granted primary custody is entitled to reasonable parenting time unless there are extenuating circumstances that could endanger the child, such as domestic violence or drug abuse.
What is the conduct of the parties during the marriage as related to disposition or dissipation of their property?
the conduct of the parties during the marriage as related to disposition or dissipation of their property. the earnings or earning ability of the parties related to a final division of property and final determination of property rights of the parties.
Does Indiana have a prenuptial agreement?
Indiana is only one of a handful of states that divide property acquired before marriage. Spouses need to execute a pre-nuptial agreement prior to marriage to ensure property is kept separate. Property division is governed by several factors that are to be considered when dividing assets. These factors include:
Is Indiana a 50-50 split?
There is a presumption of a 50-50 split on debts in Indiana despite being an equitable distribution state. It is possible to make a case that debts should be divided differently, but you will need to convince a judge as to why this should be the case.
What is equitable distribution?
Equitable Distribution. In the remaining states, assets and earnings accumulated during marriage are divided equitably (fairly), but not necessarily equally. In some of those states, the judge may order one party to use separate property to make the settlement fair to both spouses.
What is the difference between community property and equitable distribution?
The main difference between community property and equitable distribution is that in community property states, there is an absolute 50-50 split of all property acquired during the marriage. In equitable distribution states, more assets may be considered "marital property," but the split is not necessarily 50-50.
What are the states that have community property?
There are nine community property states: Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin. In these states, all property of a married person is classified as either community property (owned jointly by both spouses) or the separate property of one spouse. Marital property refers generally to all of the property acquired by either or both spouses during the marriage. Separate property refers to any property the spouses acquired separately before the marriage or after separation (or in some states after divorce). Separate property also includes any gifts or inheritances acquired by either spouse at any time. There are exceptions to these general rules, which are spelled out in each state's property laws.
What is separate property?
Separate property refers to any property the spouses acquired separately before the marriage or after separation (or in some states after divorce).
Is community property divided equally in Alaska?
At divorce, community property is generally divided equally between the spouses, while each spouse keeps his or her separate property. Couples in Alaska can opt in to a community property system like the one described above.
Do not sell personal information?
Do Not Sell My Personal Information. If you and your spouse can't determine how to divide property and debts during your divorce, the courts will divide your assets under one of two basic schemes: community property or equitable distribution. The main difference between community property and equitable distribution is that in community property ...
What states have community property?
Idaho. Louisiana. Nevada. New Mexico. Texas. Washington. Wisconsin. For couples getting divorced under a community property scheme, each spouse has an equal right to “community" or joint property acquired during the marriage. Community property is divided down the middle—a court won’t consider whether it would be fair to give one spouse a right ...
How to divide property?
Judges consider various factors to decide how property should be divided, including: 1 each spouse’s financial condition at the time the property will be divided 2 each spouse’s contributions to the other spouse’s career 3 each spouse’s earning potential 4 the length of the couple’s marriage, and 5 which spouse has physical custody of the couple’s children.
What is separate property?
Separate property is an exception to the community property rule. Some examples of separate property are: property owned by one spouse before the marriage. proceeds from a personal injury settlement, and. an inheritance or a gift to one spouse—even if the spouse received it during the marriage. If you live in a community property state ...
Is equitable distribution equal?
Most states follow equitable distribution rules. In these states, equitable doesn’t necessarily mean equal. A judge will divide property fairly or equitably, rather than equally or 50/50 between the spouses. So, for example, a low-earning spouse, who has primary custody of young children may be awarded more property as part ...
Is community property divided?
Community property is divided down the middle—a court won’t consider whether it would be fair to give one spouse a right to more than half of the marital assets. The major analysis in a community property state is the nature or character of the property—whether it's community (joint) or separate (owned exclusively by one spouse).
Community Property vs. Equitable Distribution
Prenuptial Agreements and Settlement Agreements in Indiana
- The rules regarding the equitable division of property only apply when the parties to a divorce go to a final hearing to have the Court divide the marital assets – usually because they are unable to agree themselves. However, the parties are free to decide themselves how to divide their own property and debts and this is likely the more common way to divide marital assets. If an agree…
Schedule A Free Consultation with An Indianapolis Divorce Attorney Today
- While this article gives a brief overview of equitable distribution in Indiana, the body of law surrounding the division of marital property in Indiana is extensive. Anyways, the division of marital property is a very case-specific inquiry. If you have more questions, we would be happy to discuss it with you in a free initial consultation. Avnet law understands the issues, the law, and c…
Equitable Distribution & Asset Division
- Marital Property and Division of Assets in Indiana
Indiana is an equitable distribution state which means assets are divided fairly and equitably, but necessarily equally. Assets acquired both during a prior to a marriage may be subject to division in a divorce. Property division is governed by several factors that are to be considered when divi… - Debts
There is a presumption of a 50-50 split on debts in Indiana despite being an equitable distribution state. It is possible to make a case that debts should be divided differently, but you will need to convince a judge as to why this should be the case.
Support Issues
- Spousal Maintenance in Indiana
There are several factors that will determine if spousal maintenance (alimony) in Indiana should be awarded or not. Spousal maintenance may be awarded for a set period of time, or there may be rehabilitative maintenance that will be awarded, but not for a period of longer than three years fr… - Child Support in Indiana
Indiana uses the Income Shares Model for calculating child support. This formula uses weekly gross income of the parents and the number of children for which support is required. Deductions are made for child support paid to other children and maintenance paid to other spouses. Court…
Custody and Visitation
- Child Custody in Indiana
Indiana uses Parenting Time guidelines which subscribe to the belief that it is usually in a child’s best interests to have frequent and meaningful contact with each parent. A parent who is not granted primary custody is entitled to reasonable parenting time unless there are extenuating cir… - Substance Abuse
By itself, substance abuse is not considered one of the grounds for divorce in Indiana. However, if the use of drugs or alcohol is present in a marriage it could impact parts of the divorce settlement. Specifically, any drug use that negatively impacts children or a parent’s ability to car…
Process
- Bifurcation of marital status
Bifurcation means that both parties in a divorce can legally declared as a single person while the other issues in their divorce are still being worked out. It does not affect things such as child custody, visitation, child support, alimony or other contentious issues that may have stalled or b… - Disclosing Assets
As part of the divorce process, both spouses must provide financial disclosures. This includes, assets, income and debts. This is so equitable distribution can take place in an appropriate way. Any attempt to hide assets could result in serious repercussions. If one spouse suspects that th…
Other Issues
- Domestic Violence
Domestic violence in Indiana can include any kind of physical abuse, emotional abuse, stalking, or any other kind of harassment including those made through phone calls, mail, or social media inflicted on one spouse by the other. It can play a factor in a divorce, but those actions are secon… - Health Insurance
Indiana courts generally require that both parties maintain status quo when it comes to health insurance during a divorce. However, after a divorce is granted, this does not mean that health insurance is required to continue. In fact, most employers will not carry an ex-spouse after a div…