Divorce Finances

Indiana is a 'one-pot' state.  That means that Indiana law views every asset and every debt as being in one big pot.  It theoretically doesn't matter whether it was obtained prior to the marriage or during the marriage.  The lid goes on the pot (so to speak) on the day someone files a Petition for Dissolution of Marriage.  (Of course, if you have a valid pre-nuptial or post-nuptial agreement, see those sections instead as this section doesn't necessarily apply to you).

Indiana requires an equitable distribution of the marital pot (sometimes called the marital estate).  By default, equitable means equal (i.e. 50% to each spouse), but either spouse can argue for a different percentage division.  You should be aware it takes quite a bit to move the court from an equal division and often we must advise clients that the increase in attorney fees it takes to litigate a different division would eat up any advantage received.  Some of the reasons for varying from an equal distribution include the following:

(1) The contribution of each spouse to the acquisition of the property, regardless of whether the contribution was income producing.

(2) The extent to which the property was acquired by each spouse:
(A) before the marriage; or
  (B) through inheritance or gift.
(3) The economic circumstances of each spouse at the time the disposition of the property is to become effective, including the desirability of awarding the family residence or the right to dwell in the family residence for such periods as the court considers just to the spouse having custody of any children.
(4) The conduct of the parties during the marriage as related to the disposition or dissipation of their property.
(5) The earnings or earning ability of the parties as related to:
  (A) a final division of property; and
  (B) a final determination of the property rights of the parties.

(1) The contribution of each spouse to the acquisition of the property, regardless of whether thecontribution was income producing.
(2) The extent to which the property was acquired by each spouse: (A) before the marriage; or (B) through inheritance or gift.

(3) The economic circumstances of each spouse at the time the disposition of the property is to become effective, including the desirability of awarding the family residence or the right to dwell in the family residence for such periods as the court considers just to the spouse having custody of any children.
(4) The conduct of the parties during the marriage as related to the disposition or dissipation of their property.
(5) The earnings or earning ability of the parties as related to: (A) a final division of property; and (B) a final determination of the property rights of the parties.

 

Disclaimer: This summary is not intended to be comprehensive, and should not be construed as legal advice for your particular situation. Nothing in this website is intended to substitute for legal representation.