THIS IS A WORK IN PROGRESS AND SHOULD NOT BE RELIED UPON IN LIEU OF AN ATTORNEY. It is important to seek legal advice from a qualified attorney before making any decisions or taking any actions based on the information provided here.
# 1. Real Property
- **Examples**: [[Marital Residence|Primary/Marital residence]], vacation homes, investment properties, land or lots.
- **Community Property Approach**:
- If bought **during the marriage** (with marital funds), it’s considered **community property** and typically divided **50/50**.
- If bought **before** the marriage or **after** separation (and kept separate), it is **separate property**.
- If there’s **commingling** (e.g., using both separate and marital funds), a **tracing analysis** may be needed to determine which portion is community vs. separate.
## **2. Personal Property**
- **Examples**: Furniture, appliances, electronics, jewelry, artwork, collectibles, clothing, and personal effects.
- **Community Property Approach**:
- Items **acquired during the marriage** are generally split **equally** (or by mutual agreement) unless a prenuptial/postnuptial agreement dictates otherwise.
- Gifts and inheritances to **one spouse** are typically **separate property** as long as they were never commingled.
## **3. Bank Accounts and Cash Equivalents**
- **Examples**: Checking and savings accounts, certificates of deposit, money market accounts.
- **Community Property Approach**:
- Funds **earned or accumulated during the marriage** belong to the community.
- Funds that one spouse brought into the marriage or received as a gift/inheritance and **kept separate** remain **separate**.
- **Commingled** accounts often require detailed analysis to determine what portion is separate vs. community.
## **4. Investment Accounts**
- **Examples**: Stocks, bonds, mutual funds, ETFs, brokerage accounts, cryptocurrency holdings.
- **Community Property Approach**:
- Investments bought **with marital funds** during the marriage are considered **community property**.
- Investments purchased **before** marriage or with **separate** assets, or received through inheritance/gift, generally remain **separate**—unless commingled.
- Valuation dates and **accrued gains** during the marriage can be subject to division.
## **5. Retirement and Pension Plans**
- **Examples**: 401(k) or 403(b) plans, IRAs, pensions, annuities, deferred compensation plans.
- **Community Property Approach**:
- The portion of retirement assets accrued **from the date of marriage to the date of separation** is considered **community property**, typically split **50/50**.
- California often uses the **time rule** for pensions to determine the **marital portion**.
- **Qualified Domestic Relations Orders (QDROs)** are often used to divide retirement accounts legally.
## **6. Life Insurance Policies**
- **Examples**: Term life insurance (no cash value), whole or universal life insurance (with cash value).
- **Community Property Approach**:
- Policies **purchased with marital funds** or maintained with marital premiums are often partially or wholly community property.
- **Cash value** in whole/universal life may be subject to **50/50** division.
- Term policies, having **no cash value**, are typically handled by deciding who continues paying premiums and/or who retains the beneficiary designation.
## **7. Business Interests**
- **Examples**: Sole proprietorships, partnerships, LLCs, shares in closely held corporations, professional practices.
- **Community Property Approach**:
- Business interests developed or expanded **during the marriage** are typically **community property**, to the extent they grew using marital resources/efforts.
- Valuation is often complex, requiring **forensic accounting** to determine the **community’s share**.
- If the business was started **before** marriage, only the **growth** attributable to the marital period may be split.
## **8. Vehicles**
- **Examples**: Cars, trucks, motorcycles, boats, RVs, trailers, off-road vehicles.
- **Community Property Approach**:
- If purchased and paid for **during the marriage** with marital funds, the vehicle is **community property**.
- Vehicles purchased **prior** to marriage or with **separate** funds remain separate.
- If there’s an outstanding **loan**, the equity (or negative equity) is evaluated as part of the marital estate.
## **9. Debts and Liabilities**
_(Not technically assets, but typically allocated in the same process.)_
- **Examples**: Mortgages, car loans, credit card debt, student loans.
- **Community Property Approach**:
- Debts incurred **during the marriage** are generally considered **community debts**, split **50/50** unless they are proven not to benefit the community.
- Debts incurred **before** marriage or **after** separation are usually **separate** debts, belonging solely to the spouse who incurred them.
## **10. Intellectual Property**
- **Examples**: Patents, copyrights, trademarks, royalties from books, music, inventions.
- **Community Property Approach**:
- Any **income or value** derived from intellectual property developed **during the marriage** could be considered community property.
- If created or patented **before** marriage, but further developed with marital funds/effort, the **community** may have a partial interest.
- Valuation of future royalties and rights often requires **specialized expertise**.
## **11. Memberships and Points**
- **Examples**: Frequent flyer miles, credit card reward points, country club or gym memberships.
- **Community Property Approach**:
- Generally considered **community property** if accumulated **during the marriage** using marital funds or as a result of joint spending.
- Division can be more informal, often by **negotiation** (e.g., transferring or splitting points).
- Some programs have **restrictions** on transfer—check the specific membership rules.
## **12. Miscellaneous Assets**
- **Examples**: Timeshares, stock options or restricted stock units (RSUs), collectibles (coins, stamps, etc.).
- **Community Property Approach**:
- If acquired or substantially paid for **during** marriage, typically **subject to equal division**.
- **Stock options/RSUs** that vest **both during and after** the marriage may need to be **apportioned** based on what portion was earned during the marriage.
- **Timeshares and collectibles** require market valuation to split fairly.
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### **Key Points About California Community Property**
- **General Rule**: Assets and debts acquired **during** marriage are presumed **community property**, divided **equally** (50/50).
- **Separate Property**: Assets owned **before** marriage, inherited/gifted exclusively to one spouse, or acquired **after** separation (and not commingled).
- **Commingling Complications**: If separate funds and community funds are mixed, tracing is required to figure out how much is separate vs. community.
- **Prenuptial/Postnuptial Agreements**: Valid agreements can override default community property rules.
- **Valuation Dates** and **Methods**: Especially relevant for complex assets (businesses, intellectual property, retirement funds).