New York Property Division: An Equitable Distribution Guide
New York is an equitable distribution state, meaning that marital property is divided fairly, but not necessarily equally, between spouses in a divorce.
Key Takeaways
- Marital property includes all property acquired by either or both spouses during the marriage, regardless of whose name is on the title. This includes:
- Separate property is property that belongs to only one spouse and is not subject to equitable distribution. Separate property includes:
- New York courts consider a number of factors when determining the equitable distribution of marital property. These factors are listed in Domestic Relations Law § 236(B)(5)(d) and include:
- The marital home is often a couple's most valuable asset. There are several options for dividing the marital home in a New York divorce:
New York is an equitable distribution state, meaning that marital property is divided fairly, but not necessarily equally, between spouses in a divorce.
New York Property Division: An Equitable Distribution Guide
New York is an equitable distribution state, meaning that marital property is divided fairly, but not necessarily equally, between spouses in a divorce.
When a marriage ends in New York, the couple's assets and debts must be divided. New York's Equitable Distribution Law governs this process, ensuring that marital property is distributed fairly to both parties. This guide will explain how New York courts classify, value, and divide property in a divorce.
Table of Contents
- What is equitable distribution in New York?
- What is considered marital property in New York?
- What is considered separate property in New York?
- What factors do courts consider when dividing property in New York?
- How is the marital home divided in New York?
- How are retirement accounts divided in New York?
- Frequently Asked Questions
- Legal References
What is equitable distribution in New York?
Equitable distribution is the legal principle that guides the division of property in a New York divorce. It requires that marital property be divided fairly, or equitably, between the spouses. It does not mean that property will be divided 50/50. The court will consider a variety of factors to determine what is fair in each case.
What is considered marital property in New York?
Marital property includes all property acquired by either or both spouses during the marriage, regardless of whose name is on the title. This includes:
- Real estate, such as the marital home
- Bank accounts, stocks, and bonds
- Retirement plans, pensions, and 401(k)s
- Vehicles, furniture, and artwork
- Businesses
| Marital Property Examples | Description |
|---|---|
| Real Estate | The marital home and other real property acquired during the marriage. |
| Bank Accounts | All funds in checking and savings accounts acquired during the marriage. |
| Vehicles | Cars, boats, and other vehicles purchased during the marriage. |
| Retirement Accounts | The portion of retirement plans earned during the marriage. |
| Debts | Mortgages, loans, and credit card debts incurred during the marriage. |
What is considered separate property in New York?
Separate property is property that belongs to only one spouse and is not subject to equitable distribution. Separate property includes:
- Property acquired before the marriage
- Property acquired by bequest, devise, or descent (inheritance)
- Gifts received by one spouse from someone other than the other spouse
- Compensation for personal injuries
- Property acquired in exchange for separate property
What factors do courts consider when dividing property in New York?
New York courts consider a number of factors when determining the equitable distribution of marital property. These factors are listed in Domestic Relations Law § 236(B)(5)(d) and include:
- The income and property of each spouse at the time of marriage, and at the time of the commencement of the divorce action
- The duration of the marriage and the age and health of both spouses
- The need of a custodial parent to occupy or own the marital residence
- The loss of inheritance and pension rights upon dissolution of the marriage
- Any award of spousal support (maintenance)
- Any equitable claim to, interest in, or direct or indirect contribution made to the acquisition of such marital property by the party not having title, including joint efforts or expenditures and contributions and services as a spouse, parent, wage earner and homemaker, and to the career or career potential of the other party
- The liquid or non-liquid character of all marital property
- The probable future financial circumstances of each party
- The impossibility or difficulty of evaluating any component asset or any interest in a business, corporation or profession, and the economic desirability of retaining such asset or interest intact and free from any claim or interference by the other party
- Any other factor which the court shall expressly find to be just and proper
Civilly Insight: The court has broad discretion in weighing these factors. It is important to present a clear picture of your contributions to the marriage and your financial circumstances.
How is the marital home divided in New York?
The marital home is often a couple's most valuable asset. There are several options for dividing the marital home in a New York divorce:
- Sell the Home: The spouses can sell the home and divide the proceeds.
- Buyout: One spouse can buy out the other spouse's interest in the home.
- Exclusive Occupancy: The court may grant one spouse the exclusive right to live in the marital home for a period of time, especially if there are minor children.
How are retirement accounts divided in New York?
Retirement benefits earned during the marriage are marital property and are subject to equitable distribution. A Qualified Domestic Relations Order (QDRO) is a court order that is required to divide most retirement plans.
Frequently Asked Questions
What if my spouse and I agree on how to divide our property?
If you and your spouse can agree on how to divide your property, you can enter into a Settlement Agreement. This written agreement will be submitted to the court for approval.
Who gets the pets in a New York divorce?
Pets are considered personal property in New York. The court will award the pet to one spouse as part of the equitable distribution.
What happens to debt in a New York divorce?
Marital debts are also subject to equitable distribution. The court will divide the debts between the spouses in a fair and equitable manner.
What is the difference between marital and separate property?
Marital property is acquired during the marriage and is subject to division. Separate property is acquired before the marriage or by gift or inheritance during the marriage and is not subject to division.
Legal References
- New York Domestic Relations Law § 236
- NY CourtHelp - Divorce Information & Frequently Asked Questions