Property division will play a crucial role in the financial outcome of your divorce, which is why it’s incredibly important to be well aware of the legalities in your state. Nebraska follows an equitable distribution model meaning marital property is divided fairly, but not 50/50 like other states.
In an equitable state, the court ultimately has the final say in deciding what’s fair. It’s best to be knowledgeable, prepared and organized, which is why we’ve gathered everything you need to know about property division in the content below.
We know it’s overwhelming, and we can help you navigate this – contact our property division lawyers today for a free consultation. We’ll fight to ensure you get what you deserve.
Equitable Distribution States vs Community Property States
There are two types of property division – equitable distribution or community property. Most states follow an equitable distribution model where marital property is split fairly, but not necessarily equally.
There are nine states that follow community property rules - Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin. Community property means that any property acquired during the marriage is split equally.
How is property divided in an equitable state?
During a divorce, legal separation or annulment, property division can be agreed upon between you and your spouse before going to court. Of course that’s a best case scenario, and we’re here to help if that’s not what your situation looks like.
In an equitable state, as long as it’s a reasonable division, marital property does not need to be split 50/50. Here’s what you can expect for the property division process in Nebraska:
If possible, you and your spouse may enter into a written property settlement agreement together.
The court will review the agreement to ensure it’s a fair division of property.
If the court deems an agreement unreasonable based on financial situations or other evidence from each spouse, the court could ask you to reconsider the agreement.
If you and your spouse cannot come to a fair conclusion, the courts will decide for you.
As the divorce is being finalized, the property settlement agreement will be included.
What factors do the courts consider when dividing property?
There are several factors that courts consider when dividing marital property. In Nebraska, the courts will consider the following:
- Length of the marriage
- Each spouse’s contributions to the marriage
- Each spouse’s financial circumstances at the time of the divorce
- Each spouse’s age, health and future earning capacity
- Any contributions to non-marital property
The list above should be taken into consideration if you’re trying to divide your property with your spouse prior to your court proceeding. This way, you’ll be ahead of the game when it comes to an equitable division of your property.
What’s considered marital vs. non-marital property?
It’s important to understand the difference between marital and non-marital property when it comes to dividing property during a divorce.
- Marital property includes assets acquired during your marriage, regardless of whose name is on the title.
- Non-marital property includes assets acquired before your marriage, inheritances, and gifts given to one spouse. This property is not typically subject to division unless it’s clear it’s been shared during the marriage.
Which assets are subject to division during a divorce?
You may be wondering how couples split the house or which assets cannot be touched during a divorce. These are important questions to consider whether you’re going to come to a written property settlement agreement with your spouse or have the courts decide.
Here are the most common assets that can be divided during a divorce in Nebraska:
Real Estate
Marital home: you and your spouse can sell the home and split the proceeds, or it will be awarded to one spouse in the equitable division of property.
Vacation homes or rental properties: If acquired during the marriage, they are typically considered marital property and would be treated similar to your marital home where they could be sold and split or awarded to one party.
Farmland: With Nebraska’s significant agricultural economy, farmland division can be a major issue for some couples. If you have farmland to consider during your divorce, our team is well-equipped to support you and ensure you get exactly what you deserve.
Personal Property
Think of regular household items like furniture, appliances, and electronics. It also includes items such as jewelry, collectibles, firearms, and tools.
With personal property, it will be incredibly helpful if you’re able to obtain receipts or any other proof of purchase to help support the division.
Pets
Nebraska law generally treats pets as property, which means they’ll oftentimes be awarded to one spouse rather than having a shared custody arrangement.
Vehicles
This includes your regular vehicles such as cars, trucks, and motorcycles. It also includes recreational vehicles like boats, RVs, and ATVs, as well as any business-related vehicles.
Bank Accounts & Cash
This includes joint checking and saving accounts, CDs and any money market accounts.
Retirement Accounts & Pensions
This includes 401(k)s, IRAs, pensions, and annuities, as well as military and government pensions.
Keep in mind, a Qualified Domestic Relations Order (QDRO) may be needed to divide employer-sponsored retirement plans.
Investments
This includes stocks, bonds and mutual funds, as well as brokerage accounts and cryptocurrencies. This could also include any stocks acquired through an employer.
Businesses
This includes everything from sole proprietorships, LLCs, and partnerships to professional practices like medical, legal, or consulting firms.
In order to determine its worth at the time of the divorce, a business valuation may be required.
Debts & Liabilities
Credit card debt and personal loans can be divided during a divorce. Student loans can also be included if they’re taken during the marriage.
Life Insurance Policies
Term life insurance typically isn’t divided since it has no cash value. However, whole and universal life policies may be considered if acquired during the marriage.
What are the consequences of hiding assets in a divorce?
During a divorce, both you and your spouse are legally required to fully disclose your financial information. If one attempts to hide assets, the court can impose penalties or award a larger share of the marital estate to the other spouse during property division.
What qualifies you for alimony in Nebraska?
Property division is separate from alimony and will be decided on first. In Nebraska, there is no particular calculation or set of circumstances that qualifies you for alimony.
Alimony may be awarded by the court if there are financial disparities between spouses. This is a tool that can ensure the divorce is fair and just.
Property Division Lawyers in Omaha, Nebraska
The end of a marriage marks the start of a new chapter, and making informed decisions during this transition is crucial.
Our Omaha attorneys are committed to asserting your rights throughout this process, whether through mediation or litigation. We understand that uncertainty about your financial future can be stressful, which is why we provide clear guidance and aggressive representation to help you secure the assets you deserve. Whether negotiating settlements or litigating complex property disputes, we prioritize transparency, accessibility, and strategic advocacy to protect your interests.
With our experienced legal team by your side, you can move forward with confidence, knowing your future is built on a solid foundation. Contact us today to discuss your property rights in Omaha and ensure you receive the fair share you’re entitled to under Nebraska law.