New York City Asset Division Attorney

Helping to Protect Your Financial Interests

When approaching the possibility of divorce, there are several issues that must be addressed by you and your spouse. One of those issues is how your assets will be divided. In New York, property that you and your spouse accumulated during the time that you were married will likely be subject to a process called "equitable distribution."

As opposed to a community property situation, all property will not be split 50/50. There is a standard of judgment that will determine which spouse is entitled to what property. This can get difficult, especially if the property was used equally by both spouses. Many factors must be considered in order to determine who has a right to what property.

At Eiges & Orgel, PLLC, we have been helping people in situations similar to yours for more than 60 collective years. Our attorneys are prepared to protect your rights so that you aren't robbed of any property or assets that are rightfully yours. Our goal is to work alongside your spouse's attorney for a fair resolution, but we will not back down in fighting for you. Schedule an initial consultation to learn more. 

Have questions about how your property will be divided? Contact Eiges & Orgel, PLLC asset division attorneys in NYC at (347) 848-1850.

Understanding Marital Property Vs. Separate Property

Understanding what qualifies as marital property versus separate property will have a significant impact on how assets and debts are divided.

Marital Property

Marital property is defined as all property, assets, and debts that were acquired during the course of the marriage. This includes:

• Home equity and real estate (family home, vacation properties, or rental properties)
• Motor vehicles
• Closely held businesses
• Stock and bonds portfolios
• 401ks
• Other pension funds
• Savings for retirement
• Investments in real estate
• Savings accounts
• Professional licenses
• Jewelry, household furniture, art, and collectibles obtained during the marriage
• Debts (mortgages, credit card balances, loans, and other financial obligations)

With very few exceptions, any assets or property that you or your spouse obtains during the course of your marriage will be subject to equitable distribution in the event that you decide to file for divorce. The court does not take into account whose name the asset is in.

Separate Property

Separate property refers to any property, asset, or debt that was acquired before the marriage or received by one spouse during the marriage as a gift or inheritance. In New York, separate property is generally not subject to division in divorce, unless it has been commingled with marital property or the value of the separate property has increased due to the efforts of both spouses.

Examples of separate property include:

• Property owned before the marriage
• Gifts and inheritances
• Pre-marital assets

In cases where separate property has been commingled with marital property (e.g., a spouse uses an inheritance to buy a house or invests it in a joint account), the court may determine that part of the property is subject to division.

The Process of Asset Division in New York

The process of asset division can be challenging, especially if one spouse tries to conceal assets or claims that certain property is separate when it is not. A New York City asset division attorney can help uncover any potential hidden assets and ensure that the division is handled fairly.

The process of asset division in New York involves several steps, including:

• Identifying Assets and Debts: Both spouses must disclose all marital assets and liabilities. A skilled attorney can help uncover hidden assets through financial forensics, tax returns, and bank statements.
• Valuation of Assets: Each asset is assigned a value, including real estate, businesses, retirement accounts, and personal property. Accurate valuations are necessary to ensure a fair distribution.
• Equitable Distribution: Unlike equal division, New York uses equitable distribution, considering factors like the length of the marriage, financial and non-financial contributions, economic circumstances, prenuptial agreements, and the needs of children.
• Negotiation and Settlement: Many couples negotiate outside of court to avoid trial. Our New York City asset division attorney can assist in these negotiations or help facilitate mediation or collaborative divorce.
• Distribution of Assets: After a settlement or court order, assets are distributed by transferring titles, dividing retirement accounts, liquidating assets, and paying off joint debts, ensuring compliance with the final agreement.

How the Court Determines Equitable Distribution?

Equitable distribution does not refer to a "50/50" property split. Rather, it refers to property division that the court considers "fair" according to the specific circumstances surrounding the case, such as the parties' present and future earning capacity, current income, age, and health. The duration of the marriage is also taken into consideration.

Many factors determine fair asset division. Questions the court may ask include:

• How much property / money did each spouse have when they got married?
• How much property / money did each spouse have when they filed for divorce?
• Was either spouse awarded alimony in the divorce?
• What are the future financial requirements of each spouse?
• What is the age of each spouse? What is their physical health like?

Consideration of these factors will make it easier to conclude who is entitled to what. In an uncontested divorce, you and your spouse are likely in agreement, but you want to be careful that you are not giving up something that is rightfully yours. "Assets" don't have to be physical; they can include things like home equity, 401ks and investments.

Ready to navigate asset division in your divorce? Call (347) 848-1850 or contact us online to schedule a free consultation with an experienced New York City asset division attorney. We’re here to ensure a fair and equitable outcome.

What are the Exceptions to New York’s Equitable Distribution Laws?

In New York, certain assets are excluded from division—one of the most common being inheritances. Whether you received the inheritance before or during marriage, the court probably won’t consider it marital property.

Other "separate assets" that may be excluded from division include:

• Personal injury compensation
• Separate property delineated in a prenuptial agreement
• Gifts, except for gifts between each party
• Property acquired before the couple married

How Will Retirement Plans Be Divided After Divorce?

According to the New York equitable distribution laws, retirement benefits that are earned during the marriage are to be divided in divorce. In order to determine the amount of the benefits that go to the non-employee spouse, the court uses the Majauskas formula.