Is retirement a marital property?

Is retirement a marital property?

Retirement accounts are marital property, which means they are subject to equitable distribution. Depending upon the length of the marriage, the funds deposited in the retirement account(s) before the marriage are reserved to the individual who brought them into the marriage rather than being divisible.

Does your spouse’s debt become yours?

People probably get tripped up on this myth because in certain circumstances, you may be responsible for debt your partner incurs during the marriage. In general though, no, you’re not legally responsible for your new spouse’s old debt.

Who is responsible for debt in a divorce?

A court will generally take the position that debts accrued during the relationship, either jointly or individually, were for the mutual benefit of both parties with mutual knowledge or consent of the other party and therefore responsibility is shared by both parties.

How is debt handled in a divorce?

As part of the divorce judgment, the court divides the couple’s debts and assets, while deciding who is responsible for paying specific bills. Each state has its own laws for dividing debts and assets. Some states consider the assets and debts each spouse brought into the marriage.

Does divorce ruin your credit?

Getting divorced Actually filing for divorce doesn’t directly impact credit scores, but if you have late or missed payments on accounts as a result, it may negatively impact credit scores. In community property states, property – and debts – acquired during the marriage are generally owned equally by both spouses.