How Much Is a Spouse Entitled to in a Divorce in Michigan?

When couples face divorce in Michigan, one of their primary concerns often centers on how their assets will be divided. While many people assume that everything splits equally in a divorce, Michigan follows an equitable distribution approach that aims for fairness rather than an exact 50-50 split. Understanding how much you will receive in your divorce is crucial to planning the next chapter of your life. A knowledgeable Michigan divorce attorney can help protect your rights and prevent you from settling for less than you deserve.

Division of Property

Michigan courts recognize two distinct types of property in divorce cases:

• Marital property includes assets and property acquired during the marriage through either spouse’s efforts, including homes, vehicles, retirement accounts, and investments.
• Separate property consists of assets owned before marriage or received through inheritance or individual gifts during the marriage.

When determining how to divide marital property fairly, courts consider several factors, including:

• Length of the marriage: Including how intertwined the couple’s finances have become
• Each spouse’s financial situation: Including their earning capacity and personal assets
• Age and health status: Physical and mental conditions that might affect future earning potential
• Contributions to the marriage: Including homemaking and child-rearing responsibilities

Alimony (Spousal Support) in Michigan

Michigan courts may award spousal support to help maintain a reasonable standard of living for both parties after divorce. The amount and duration of alimony in Michigan depend on various factors:

• Income disparity between spouses
• Length of the marriage
• Each spouse’s ability to work
• Contributions to the other’s career advancement

Child Custody and Support

For divorcing parents, financial considerations extend beyond property division, such as custody rights in Michigan and child support. Child-related expenses influence the overall financial settlement:

• Child support payments based on Michigan’s formula
• Additional expenses for education, healthcare, and extracurricular activities
• Housing needs for the custodial parent

Other Financial Considerations

Divorcing couples must also address:

• Joint debts and credit accounts: Michigan courts view debts acquired during marriage as similar to assets. Both spouses may share responsibility for paying credit card balances, mortgages, and loans, regardless of whose name appears on the account.
• Tax implications of property transfers: The transfer of assets during divorce can trigger significant tax consequences. For example, selling the family home or dividing retirement accounts might create tax obligations.
• Retirement account division: Splitting retirement benefits requires special attention and often needs specific court orders called Qualified Domestic Relations Orders (QDROs).
• Insurance policies and beneficiary designations: Divorce affects various insurance policies, including health, life, and disability coverage. You’ll need to update beneficiary designations on life insurance policies and retirement accounts and potentially secure new health insurance if you were covered under your spouse’s plan.

Contact a Divorce Lawyer in Michigan Today

At Alward Fisher, we understand that divorce creates uncertainty about your financial future. Our experienced family law attorneys can help protect your interests and work toward a fair settlement. Call us today or contact us online to discuss your case with our team. Our divorce lawyers in Michigan serve clients throughout Traverse City and Northern Michigan, providing the dedicated legal representation you deserve during this challenging time.