Divorce is a difficult and emotional process for anyone, but for women, it can have long-lasting financial implications. Women often face challenges when it comes to asset division, spousal support, and child custody. However, in some US states, divorce laws provide more protection for women and ensure that assets are split fairly. In this article, we will explore the divorce laws in each US state, with a special emphasis on the six states where assets are split 50/50.
Divorce Laws in the US
Divorce laws in the US are determined at the state level, meaning that they can vary significantly from one state to another. Some states have no-fault divorce laws, meaning that couples can divorce without having to prove that one party was at fault. Other states require fault-based grounds for divorce, such as adultery, cruelty, or abandonment. In most states, divorce laws cover issues such as property division, alimony or spousal support, child custody, and child support.
Asset Division in Divorce
One of the most important issues in a divorce is asset division. In most states, assets acquired during the marriage are considered marital property and are subject to division in a divorce. However, in some states, assets acquired before the marriage or through inheritance or gift are considered separate property and are not subject to division.
In the six US states where assets are split 50/50, marital property is divided equally between the spouses. These states are California, Washington, Idaho, Wisconsin, New Mexico, and Texas. This means that each spouse is entitled to 50% of the marital property, regardless of who earned the income or who paid for the assets.
How These Laws Affect Women
For women, divorce can have significant financial consequences, particularly if they are not the primary breadwinners in the household. In states where assets are not split equally, women may receive a smaller share of the marital property, leaving them at a disadvantage when it comes to starting over. In contrast, in states where assets are split 50/50, women are more likely to receive a fair share of the marital property, which can provide them with the financial stability they need to move on after a divorce.
In addition to asset division, spousal support or alimony is another issue that can affect women after a divorce. In some states, alimony is awarded based on a variety of factors, including the length of the marriage, the earning capacity of each spouse, and the standard of living during the marriage. In other states, alimony is not awarded at all.
Child custody is another issue that can have a significant impact on women after a divorce. In most cases, the primary caregiver of the children is awarded custody, which is often the mother. However, in some cases, the father may be awarded custody, particularly if the mother is deemed unfit or unable to care for the children.
Impact of Divorce Laws on Women’s Investments
Divorce is a complex and emotional process, and it can have significant financial consequences for women. However, in some US states, divorce laws provide more protection for women and ensure that assets are split fairly. In the six states where assets are split 50/50, women are more likely to receive a fair share of the marital property, which can provide them with greater financial security and stability after divorce. This, in turn, may lead to increased confidence and willingness to invest in their future. On the other hand, in states where assets are divided based on equitable distribution, women may end up with less than half of the marital property, which can negatively impact their financial wellbeing. Therefore, divorce laws can have a significant impact on women’s investments, and it is essential for women to understand their legal rights and protections in their state to ensure they receive a fair settlement in their divorce proceedings.
Divorce can be a challenging and emotional process for women, with long-term financial implications. The six states where assets are split 50/50 provide women with more protection, ensuring that assets are split fairly. It is essential to consider the divorce laws in your state when planning for a divorce, particularly if you are not the primary breadwinner in your household.
If you went through a divorce, what would you have liked to know beforehand? I’d love to hear from you. Please feel free to leave a comment or reach out to me via Twitter or Facebook. At LexION Capital, our priority is to make our clients’ financial goals a reality by providing hands-on wealth management solutions, backed up by science-based insights into the financial industry. We help you maintain well-diversified investment plans. Should you need help in the aspect of financial growth, please visit my company’s website, LexION Capital.
Elle Kaplan is the founder and CEO of LexION Capital, a fiduciary wealth management firm in New York City serving everyone who feels left out by traditional “Wall Street”, including women and the families they love.