Tennessee is one of many states in the nation that separate marital property using an equitable division model. While community property states split marital property equally in half between spouses, equitable division states consider several factors before deciding who gets what.
Whether you are currently going through a divorce or thinking of filing, it is critical to understand how property division works to ensure you receive all that you are entitled to in the final settlement.
Marital property
Everything that you accumulated during the time you were married is considered marital property, according to state statutes. Not only does this include assets in the bank account, but also the following less commonly thought of items:
- Lottery ticket winnings
- Income tax refunds
- 401k plans, retirement plans and term life insurance policies
- Expensive collections, such as art, antiques, coins and classic cars
- Travel reward points
- Gifts exchanged between spouses
Any money lent to a third-party should be divided between spouses once it is repaid.
Separate property
Some property may not be eligible for division. Separate property can stay with the original owner, even through the divorce process. This includes property acquired before the marriage or after the marriage. For instance, if you owned a home prior to the marriage and the title of the property remains solely in your name, you do not have to split the property in the settlement.
Other items of separate property include personal injury compensation, inheritance money and gifts you received by a third-party before, during or after the marriage.
Any money or property that becomes intermingled with marital property, however, loses its separate property status and can be divided in the final decree.
