With regard to asset division, U.S. states may adhere to one of two methods. 

  • In a community property state, the law considers all money and valuables acquired during marriage shared wealth owned equally by both spouses. This entitles each person to a 50% share of said belongings and funds.
  • In an equitable distribution state, courts divide the marital estate based on fairness. The split does not have to be equal. 

For property division in divorce in North Carolina, equitable distribution applies. Additionally, our state breaks down property into one of three classifications:

1. Separate property

Anything possessed before the marriage and brought into it is separate property. So are any inheritances or gifts bestowed solely upon one half of the couple by a third party during it. Individuals maintain complete ownership of their separate property in the case of divorce. A family law attorney can help protect your separate property interests during the divorce process.

2. Divisible property

This consists of any property gained in the time between separation and the actual divorce. Essentially, it covers any change in marital asset value that may happen during this period. Applicable examples include bonuses or investments made before separation but not paid out until afterward. 

3. Marital property

Any property obtained by a couple during marriage (before separation) and owned at the time of the legal proceedings falls under this umbrella. This includes retirement accounts and pensions. 

For the actual splitting of divisible and marital property, courts consider several factors to determine what is fair.

Note that the marital property allocation also includes debt incurred throughout the union. Responsibility for bills from after separation is not divided. It falls on the one who accrued them.

Reach Out Today for Divorce Law Support

If you live in Sampson County or Johnston County in North Carolina – and you need a dedicated family divorce lawyer, contact Daughtry, Woodard, Lawrence, & Starling law firm today to request a free divorce case consultation. We are here to provide the personalized legal support you need to move forward with confidence.

author avatar
Stephen C. Woodard Partner / Retired
Steve Woodard’s practice is currently limited to family law mediations, with special concentration on equitable distribution cases. He is a North Carolina State Bar board certified specialist in Family Law and is a Fellow of the Academy of Matrimonial Lawyers. He is no longer actively practicing law at this time as his practice is solely in family law mediations.