When dividing property in a Pennsylvania divorce, several key factors must be considered, including: (1) professional licenses or degrees, (2) pension benefits, (3) personal injury compensation, (4) marital debts, (5) goodwill, (6) future interests, (7) tax implications, and (8) spousal support or alimony.
Professional Licenses or Degrees: Although professional licenses or degrees are not considered marital property, the court may award reimbursement if one spouse contributed financially to the other’s education or professional qualification. The reimbursement is limited to actual financial contributions, not the value of the degree itself.
Pension Benefits: Pension benefits accrued during the marriage are treated as marital property, including plans like profit-sharing or 401(k) accounts, even if the non-employee spouse did not contribute to them.
Personal Injury Compensation: Personal injury awards are considered marital property if the injury occurred between the date of marriage and the final separation.
Marital Debts: Debts can be categorized as marital or separate. Debts incurred during the marriage are generally considered marital debts. The court will assess the following factors when determining whether a debt is marital or separate:
- The purpose of the debt.
- Who incurred the debt.
- Who benefited from the debt.
- Who is best positioned to repay the debt.
Goodwill: The goodwill of a business or professional practice, including its reputation and clientele, is considered marital property if it can be assigned a monetary value.
Future Interests: Potential future interests in property are not subject to division in a divorce.
While property division mainly deals with past assets, alimony focuses on future support.
Tax Implications: Transfers of property or equitable distribution payments in a divorce are not taxed at the time of transfer. However, taxes may apply when the property is sold.
Divorce Lawyer R. Badet is an experienced attorney dedicated to assisting clients throughout the divorce process. His expertise spans simple and complex divorce cases, spousal and child support, and child custody. With years of experience, R. Badet can help secure the best possible outcome for your case. Visit www.lawyersfordivorces.net for more information and a free consultation.