What You Need to Know About Asset Division in Illinois
One of the areas divorcing couples must reach an agreement on is asset or property division in Illinois. There are two types of properties they must take care of: marital and non-marital/separate property.
Marital Property vs. Separate Property
The first thing to do is determine whether certain assets are marital or separate. The former includes most property and debt the couple acquired during their marriage. The latter involves assets they owned separately before they got married. This can be anything from a gift to an inheritance they received before their marriage.
Non-marital property also involves assets either spouse may have exchanged for other separate property or purchased from it. If that property increases in value during the marriage, it is still considered separate. However, the spouse who doesn’t own it may be entitled to a sum of the new value – if they contributed to that increase.
Separate property can also be turned into marital property and vice versa; this depends on the wishes of the couple. In such cases, they can determine which assets are marital and which aren’t, by making those decisions together.
In some cases, a couple may have trouble determining if an asset is marital or separate. This can happen if they combined properties during their marriage, such as placing money in a joint account. Unless the source of that property can be traced separately to each of them, the balance cannot be divided fairly. In this case, the court will decide to split it in half.
However, if the proceeds from this account were also used to pay for expenses benefiting the family, the court may deem it as a gift, and those funds would not be reimbursed to either spouse. The balance would be treated as marital property – regardless if it can be traced back to either spouse.
Whether you are going through a divorce or need to get one in Hinsdale, IL, you need expert legal guidance that can ensure a fair case. Our aim at Dan Walker Law Office is to settle issues as amicably as possible. In case you and your spouse are unable to meet in the middle, we can help you prepare a case that can represent your best interests. Call 630-920-8800 for a free consultation today.