Many individuals going through a divorce have various presumptions regarding asset division. Some assume that a couple’s assets will automatically be divided equally. Others believe if an asset is only in their name, or was theirs before marriage, they will get to keep the asset and only joint assets will be divided. In Massachusetts the division of all assets is determined based on what is fair under the circumstances. This may or may not result in an equal split of assets and may include premarital assets.
Massachusetts is an equitable distribution state. This means that the court seeks to divide marital assets fairly between the parties based on their specific circumstances. While an equal division of assets may serve as a starting point, the final division is not required to be a 50/50 split. Under Massachusetts law, the court has broad authority to assign to either party all or any portion of the other party’s estate. This includes property acquired both before and during the marriage. Although courts often focus on assets accumulated during the marriage, commonly referred to as marital assets, the division is not limited to those assets alone. The court’s overarching goal is to reach an equitable outcome based on the facts of each case.
When determining how assets should be divided, the court considers a number of factors, including:
It is important to note that it does not matter which spouse earned a particular asset or whether the parties kept their finances separate during the marriage. All property may be considered by the court. What is deemed “equitable” will depend on the unique facts and circumstances of each case.
In Massachusetts, even assets acquired prior to the marriage may be subject to division. Whether a premarital asset is ultimately divided often depends on how the asset was treated during the marriage and how long the parties were married. For example, one party may have entered the marriage with significant savings or real estate. If those assets were maintained separately and not used for marital purposes, they may be excluded or only appreciation may be included. If they are not included, it is possible that the martial assets could be divided equally or in a different proportion taking into account what each party will leave the marriage with. For longer marriages where pre-marital assets are intermingled, they may become marital assets. Having a pre-nuptial agreement in place can help with keeping premarital assets separate in a divorce.
Inheritance is another area that can create confusion during a divorce. In Massachusetts, inherited assets are not automatically excluded from division. Like other property, they may be considered part of the overall estate depending on how they were handled during the marriage. If an inheritance was kept separate, such as in an individual account and not used for marital expenses, it may be excluded. However, if inherited funds were deposited into joint accounts, used to purchase shared property, or otherwise commingled with marital assets, the court may treat them as part of the marital estate. Even when an inheritance is kept separate, the court may still consider it when determining an equitable division of the overall assets. For example, a judge may award a larger share of other marital assets to one party if the other party has significant separate assets, including an inheritance. Age, ability to acquire to future assets, health and support are all taken into consideration. The focus remains on fairness in light of the total financial picture.
If the parties entered into a valid prenuptial agreement prior to the marriage, the terms of that agreement may govern how pre-marital and marital assets are divided. Prenuptial agreements are intended to outline each party’s financial rights and obligations in the event of a divorce and can have an impact on division at divorce.
In Massachusetts, there is no one-size-fits-all approach to dividing assets. The court’s primary focus is on fairness, not necessarily equality. Each case is evaluated based on its own facts, and the outcome will reflect the specific circumstances of the parties involved. Understanding how assets, including premarital property and inheritance, may be treated is an important step in preparing for the divorce process. If you have questions about how your assets may be divided, it is important to seek guidance early. We can help you navigate the process, protect your interests, and help you work toward a fair resolution.
