When going through divorce, you will also have to undergo the asset division process. This takes all shared or community assets and equally or equitably divides them between you and your spouse.
But how do you know what assets count as community assets in the first place?
As The Business Professor explains, marital assets fall into one of two categories in most cases. The first is separate property.
Separate property does not get divided during a divorce. This typically includes things like gifts that you receive directly, assets that you held before the marriage, and any inheritance received during the duration of the marriage.
Note, however, that not all separate property stays separate through the lifespan of the marriage. For example, if you put separate assets into a joint bank account, they then become community assets.
Community or shared property
Speaking of, joint bank accounts are among the numerous assets that count as community or shared property. This is the property that will get divided in the divorce.
Community assets typically include things like cars, houses or land parcels. Anything signed under both names of the couple or purchased with assets from both members will usually fall under this category, too.
Deciding what is community and what is separate property is sometimes harder than it looks, however. This is why many people need a little help while going through the process, so as to ensure that they do not mix up assets or exclude anything that should get included in the division.