Divorce Law Firm Serving Skokie and Northfield

Asset and debt allocation in Illinois divorce

If you are going through a divorce, the division of your property is one of the most important issues to resolve. Illinois law provides for equitable distribution, which means a court divides marital property in a manner that is fair but not necessarily equal. The process is an exacting one, particularly in determining whether assets are marital in nature or separately owned, so it’s important to have capable legal representation. At Law Offices of Paul Chatzky, our experienced divorce lawyers take a detailed approach, bringing to the court’s attention all relevant factors that weigh in your favor. Step by step, we lay out a compelling case for the share of the marital estate you deserve.

What is considered marital property in Illinois?

Marital property consists of all assets and debts accumulated during the marriage except for the following:

• Assets purchased with separate property and kept separate
• Wealth derived from separate property and kept separate
• Inheritances and non-spousal gifts received during the marriage
• Property excluded from the marital estate by written contract, such as a prenuptial agreement

Marital property includes assets you might think are separately owned, such as funds accumulated in an IRA, 401(k) or pension account during the marriage, even if the account was opened before the marriage.

Marital property also includes separate property that has been commingled. In other words, if you got rental income from a property you bought before your marriage, but you put that cash in your joint checking account, you have converted those funds from separate to marital property. In addition, marital property includes property purchased prior to but in anticipation of the marriage.

What factors are considered by the court regarding property division?

Illinois law requires a court to consider specific factors when determining how much of the marital estate each spouse should receive. These include:

• Each party’s contribution to the increase or decrease in the value of marital assets
• Each party’s dissipation or wasting of marital assets
• The duration of the marriage
• The economic circumstances of each spouse
• Each spouse’s situational status, including his or her age, health, occupation, amount and sources of income, vocational skills, employability, liabilities and needs
• Child custody
• Spousal maintenance, if any
• Future income expected by either spouse
• Tax considerations

In addition, the court may consider any other factor that might have bearing on the division of property.

Marital debts

Debts are considered property and marital debt is subject to equitable distribution. The division of debt can be complicated. For example, if one spouse gets a car but the other spouse is obligated to pay the car loan, the situation may cause future conflict. There is also the issue of joint debt, such as credit card balances. When both spouse’s names are on the account, the bank can go after either party for payment.

Other considerations in asset and debt allocation

The division of property can become very complex if conflicts arise. Although divorce requires full financial disclosure, some spouses attempt to hide assets and underreport their income. A spouse may attempt to invalidate a prenuptial or postnuptial agreement. In such instances, you need an experienced attorney who can take decisive steps to remedy the problem.

Contact an experienced divorce attorney for property division in Northfield, IL

The Law Offices of Paul Chatzky helps divorce clients in Northfield and Skokie obtain a fair division of their marital property. Call us today at 847-416-1646 or contact us online to schedule a consultation. Our offices are conveniently located at 790 West Frontage Road in Northfield, just off I-94.