Steps to Fairly Divide Property in a Wisconsin Divorce

Dividing property during a divorce is often one of the most contentious and complex issues that couples face. In Wisconsin, the law follows the principle of community property, which means that assets and debts acquired during the marriage are generally considered joint property and are divided equally. However, dividing property fairly involves more than just splitting things down the middle. Here are key steps to ensure that property is divided justly in a Wisconsin divorce.

Step 1: Understand Wisconsin’s Community Property Laws

Wisconsin is a community property state, meaning the court will generally divide assets acquired during the marriage 50/50. However, this does not necessarily mean a strict equal split; the court may make adjustments based on specific circumstances. Separate property, such as assets owned before the marriage or gifts/inheritances received by one spouse, is not subject to division, but commingling these assets with marital property can change that.

Step 2: Gather All Financial Information

The first step toward fair property division is gathering a complete picture of your financial situation. This includes:

  • Bank accounts
  • Retirement accounts
  • Real estate holdings
  • Vehicles
  • Business interests
  • Personal items

You must also account for debts such as mortgages, credit card balances, student loans, and other liabilities. It’s important to identify which assets and debts are marital property and which are separate, as they will be treated differently.

Step 3: Value the Property

Once all the property has been identified, each asset must be valued accurately. This can be straightforward for assets with clear market value, like bank accounts or cars. However, for more complex assets, such as real estate or businesses, professional appraisers may be necessary to determine their true worth. Retirement accounts require a Qualified Domestic Relations Order (QDRO) to divide them without incurring tax penalties.

Step 4: Consider the Financial and Emotional Impact of Property Division

While Wisconsin law mandates equal division of assets, this doesn’t mean a simple 50/50 split will always be the most fair approach. The length of the marriage, the earning potential of each spouse, and custody arrangements (especially if children are involved) are key factors that may influence property division. For instance, the spouse with primary custody of the children may receive a larger portion of the marital home or other assets to ensure stability for the children. Additionally, emotional value attached to certain items like family heirlooms can be considered.

Step 5: Negotiate a Settlement

After valuing the property and understanding what each spouse is entitled to, the next step is to negotiate a fair division. This can be done through direct negotiation, mediation, or with the help of attorneys. Many couples prefer to reach a settlement without going to trial, as this is often quicker and less costly. However, it is crucial that both parties are well-informed and that the final agreement reflects their individual needs and priorities.

Step 6: Finalize the Division Through Court or Agreement

If both spouses can reach an agreement, the terms can be included in the divorce settlement and presented to the court for approval. If no agreement can be reached, the court will make a final determination about property division based on Wisconsin’s community property laws.

Step 7: Work with a Knowledgeable Milwaukee Divorce Lawyer

A skilled family law attorney can guide you through the process of dividing property fairly. They will help ensure that your rights are protected, that all assets and debts are accounted for, and that the division is equitable under Wisconsin law.

Conclusion

Dividing property in a divorce is rarely a simple process. By following these key steps, including understanding Wisconsin’s community property laws, gathering financial information, accurately valuing assets, and negotiating a fair settlement, you can navigate the property division process smoothly. Working with an experienced divorce attorney in Milwaukee will help ensure you achieve a fair and just outcome that protects your financial future.

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