When couples divorce, they generally divide their marital assets. This can be a complex and contentious process. In Pennsylvania, judges employ an approach commonly referred to as equitable distribution to divide marital assets if couples cannot reach an amicable arrangement dividing the contents of their mutual estate. Essentially, this means that judges are primarily concerned with fair arrangements, and those are not necessarily 50-50 in nature.
In Pennsylvania, marital property usually includes all (or almost all) assets and debts acquired by either spouse during the marriage, regardless of whose name is attached to any particular asset. However, there are exceptions; for example, assets acquired before the marriage, inheritances and gifts may potentially be considered separate property if they were given specifically to one spouse and have not been significantly comingled.
What does “fair” look like?
If spouses cannot agree on terms that they believe to be fair, the court will step in to make this determination. When assessing what a “fair” settlement might look like, courts commonly take the following considerations under advisement:
- The nature of the marriage itself: In addition to the length of the union, a court will likely consider both financial and non-financial contributions to the marriage made by each spouse. For example, if one spouse was the primary breadwinner while the other managed the household and cared for children, both contributions would be valued when determining asset division.
- Custody of dependent children: If one spouse is granted more significant parenting time for their children, they may be awarded the marital home or other assets to provide stability for them.
- Health and age: The health and age of both spouses may also be considered. If one spouse is dealing with medical realities that affect their ability to work, for example, the court may award them a larger share of marital assets.
An equitable distribution approach aims to achieve a fair division of marital assets based on the unique circumstances of each couple’s union. Therefore, it isn’t easy to know exactly how a court will rule when it comes to dividing assets. As such, seeking personalized legal feedback is usually the best way for an individual to determine what a settlement handed down by the courts is likely to look like if their divorce cannot be resolved amicably.
