Colorado Family Law Office - Division of Marital Property

Colorado Springs Marital Property Attorneys

You spend a considerable amount of time and effort over your life accumulating property and assets that may be in jeopardy when facing a divorce. Enlist the skill and counsel of an experienced Colorado Springs divorce attorney to help protect your financial future. Our attorneys are experts in division of marital property, and we have the experience, skill and client-focused approach needed to help you solve your problems.
As part of the divorce and legal separation process, the court will divide marital property; therefore property division is typically one of the most significant areas of a divorce. Marital property is any property acquired during the course of the marriage, regardless of how it is titled, unless it is separate. Marital property often includes:

• Residential property (to include marital home, vacation homes, farms)
• Commercial property
• Vehicles
• Businesses
• Investments (stocks, bonds, mutual funds, retirement plans, bank accounts)
• Pensions and retirement (including military retirement)
• Bank accounts
• Debts

Colorado is an equitable distribution state, meaning every marital asset must be distributed equitably. However, equitable does not necessarily mean an equal split will occur.
Separate property is generally any property acquired prior the marriage and property acquired by gift or inheritance. Separate property may become marital property if separate property is placed into both names (commingled).
Our family law attorneys have extensive knowledge and experience in complex property division, and are experts at providing a client-focused experience while driving toward the goal of obtaining the best results possible.

Division of Marital Assets in Colorado Divorce

Colorado operates as a marital property state, meaning assets acquired during the marriage are considered marital property and are subject to equitable division during a divorce. Equitable division strives for fairness, but it doesn’t always mean an equal split. The law governing property division is C.R.S. 14-10-113.

General Process for Division of Property

Identify Property as Marital or Separate

• It's important to distinguish between marital and separate property. Note that property titled in one spouse’s name may still be considered marital property. How property is titled is generally not relevant.

Value the Property

• Accurate valuations, such as through appraisals, are essential.

Divide the Property Equitably

• Assets are divided fairly based on various considerations.

Key Factors in Equitable Division

Colorado courts evaluate several factors when dividing marital property, including:

• Contributions of Each Spouse: This includes financial contributions and non-monetary contributions such as homemaking, childcare, and supporting a spouse’s career.
• Economic Circumstances: The court considers earning capacity, job skills, and future needs of both parties.
• Value of Property Assigned to Each Spouse: If one spouse receives a major asset, like the marital home, the other spouse may receive a larger share of other assets.
• Tax Consequences: Courts consider the tax implications of different property divisions.

Types of Marital Property

Marital property can include:

• Real Estate: Homes, condos, or any property acquired during the marriage.
• Bank Accounts: Both joint and individual accounts.
• Investments: Stocks, bonds, mutual funds, and other securities.
• Retirement Accounts: 401(k)s, IRAs, and pensions.
• Vehicles: Cars, trucks, and other vehicles.
• Personal Property: Furniture, electronics, jewelry, and more.
• Business Interests: Any business ventures started or developed during the marriage.

Understanding Separate Property

Separate property includes assets or debts:

• Acquired before the marriage (e.g., real estate or investments).
• Received as gifts or inheritances during the marriage.
• Acquired after legal separation.

While separate property generally belongs to one spouse, if it’s commingled with marital property, it can become subject to division. Additionally, any increase in the value of separate property during the marriage may be considered marital property.

The Role of Appraisals

Appraisals are often necessary to determine the value of major assets like homes or businesses. When spouses cannot agree on a property’s value, expert appraisals ensure an equitable division.

Seeking Legal Counsel

Dividing marital assets can be complex. Consulting an experienced Colorado family law attorney is critical for protecting your rights and ensuring a fair division.

Separate Property vs. Marital Property in Colorado

Separate Property

Separate property belongs solely to one spouse and includes:

• Assets owned before marriage.
• Gifts or inheritances received during the marriage.
• Property acquired after legal separation.

Marital Property

Marital property is acquired by either spouse during the marriage and includes:

• Real Estate: Properties purchased after the marriage began.
• Bank Accounts: Both joint and individual accounts.
• Investments: Stocks, bonds, and other financial assets.
• Retirement Accounts: Contributions made during the marriage.
• Vehicles: Cars and trucks bought during the marriage.
• Personal Property: Items like furniture, electronics, and jewelry.
• Business Interests: Businesses created or expanded during the marriage.
• Increase in Value of Separate Property: Appreciation in assets like 401(k)s or homes is often considered marital property.

Commingling of Property

Separate property can lose its status if it’s commingled with marital property. For example:

• Depositing separate funds into a joint account.
• Adding a spouse’s name to a separate property title, like a home.

Is the Increase in Separate Property Considered Marital Property in Colorado?

Yes, in Colorado, any increase in value of separate property during the marriage is typically treated as marital property, as the marriage likely contributed to its appreciation (e.g., market conditions or improvements).

For example:
If a spouse owns a home before marriage and its value increases during the marriage, the increase in value may be subject to division.

Consult a Colorado Family Law Attorney

If you’re navigating a divorce, Aviso Law’s experienced family law attorneys can help protect your rights and ensure a fair outcome. Contact us for personalized guidance tailored to your unique situation.