One of the greatest concerns in a divorce is the division of assets between both parties. Throughout a marriage, couples tend to acquire a great amount of assets. This can include houses, cars, retirement plans, etc. However, it is important to remember that they can also accumulate debt, such as mortgages and credit card debt. In a divorce, both assets and debts are divided between both parties. Continue reading below to learn more and contact an experienced New Jersey divorce attorney for assistance.
How is Debt Divided in a Divorce?
The state of New Jersey uses the process of equitable distribution to divide debts and assets between two spouses. It is important to note that this division is not necessarily an equal split, but based on what is fair and just. This means that the value of debt that each spouse receives will not be identical to one another.
What is Considered When Dividing Debt?
In order to determine what is fair when dividing debt, New Jersey courts will consider a variety of different factors. This includes the following:
- The length of the marriage
- Both parties’ age and health
- Any income or property brought into the marriage
- Both pirates’ standard of living
- Written agreements made either before or during the marriage
- Both parties’ economic circumstances after the division of property
- Both parties’ income and earning capacity
- Any contributions made by one spouse to the other’s ability to earn income
- Any contributions made that increased or decreased the value of the couple’s marital property
- The tax consequences of the proposed property distribution
- The present value of the property
- The need of a custodial parent to use the marital home
- The parties’ debts and liabilities
- The need for a trust fund to pay for medical or educational costs of a spouse or child
- Any delay incurred by one party in achieving his or her career goals
- Any other factors which the court may deem relevant
Contact our Firm
If you require strong legal representation for matters of divorce and family law in New Jersey, contact The Law Offices of Paone, Zaleski & Murphy to schedule a consultation with one of our experienced attorneys today.