In addition to the usual considerations for property division, the following factors may also be taken into account: (1) Professional Licenses or Degrees; (2) pension benefits; (3) personal injury settlements; (4) marital debts; (5) goodwill; (6) future interests; (7) tax implications; and (8) alimony or spousal support.
Professional Licenses or Degrees: While a professional license or degree itself is not considered marital property, the court may award reimbursement for any financial contributions made by one spouse towards the other’s education. This reimbursement is limited to the actual financial contributions, such as tuition, rather than a share of the value of the degree itself.
Pension Benefits: If a spouse’s pension was accumulated during the marriage, it is regarded as marital property and subject to division, including profit-sharing plans, 401(k) accounts, etc. The division does not depend on whether the non-employee spouse contributed directly to the pension.
Personal Injury Settlements: Personal injury settlements are considered marital property if the cause of the injury occurred between the marriage and the final separation.
Marital Debts: Debts are classified as either marital or separate. Typically, debts incurred during the marriage are considered marital debts, regardless of which spouse incurred them. The court will consider factors like the purpose of the debt, who took on the responsibility, who benefited from it, and who is most capable of repaying it.
Goodwill: The goodwill of a professional practice or business, such as its reputation and client base, is considered marital property if it can be assigned a monetary value.
Future Interests: A potential future interest in property is not subject to division.
Tax Implications: Payments or transfers related to equitable distribution are not taxable at the time of the transfer. However, any property is taxable when it is sold.
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