In Indiana, divorce laws operate under the presumption of a “fair and equitable” division of property, which is typically assumed to be a 50/50 split. However, this does not mean that every divorce results in an equal division of assets. The court has the discretion to deviate from this standard if it believes that fairness requires a different outcome. Several factors influence whether you could be entitled to more than 50% of the marital assets and making the right arguments to the Court can move the needle so that one party may get more than 50%.
Below are some key factors that historically the Indiana courts will consider when determining what makes a fair property division in a divorce:
- Contribution to the Acquisition of Property
The court looks at the contributions both spouses made to acquire the marital property. Contributions aren’t limited to direct financial input; non-monetary efforts, such as homemaking or caring for children, are equally important in the court’s eyes. If one spouse dedicated time and effort to raising a family or supporting the other’s career, leaving behind their own career, this could affect the division of assets. - Economic Circumstances of Each Spouse Post-Divorce
One of the most important considerations is how each spouse will manage financially after the divorce. If one spouse will have limited financial opportunities due to a lack of employment or future earning potential, the court may allocate more assets to ensure they are not left in a worse financial situation. - Earning Capacity and Career Sacrifices
The court will assess the current and future earning capacity of each spouse. If one spouse has significantly higher earning power or has advanced their career while the other sacrificed theirs for the family, the court may award a greater portion of assets to the spouse with limited earning potential, particularly if they have been out of the workforce for an extended period. - Property Owned Prior to Marriage
While Indiana generally views all property acquired during the marriage as marital property, assets brought into the marriage by one spouse may be treated differently. If one spouse owned a house, savings, or other significant assets before the marriage, the court may consider these factors when determining how to divide the property. - Custody of Minor Children
The court will also take into account the needs of any children from the marriage. If one spouse is awarded primary custody, the court may allocate more assets or allow the custodial parent to remain in the family home to provide stability for the children. - Conduct During the Marriage
Indiana is a no-fault divorce state, meaning you do not need to prove wrongdoing to obtain a divorce. However, if one spouse has been found to engage in behavior that significantly depleted marital assets—such as gambling, substance abuse, or extravagant spending—the court may compensate the other spouse by awarding them a greater share of the assets. - Future Financial Needs and Liabilities
If one spouse will face considerable future financial obligations, such as medical bills, education expenses, or significant debt, the court may take this into account. The goal is to ensure that both parties can manage their post-divorce lives without an unfair financial burden and that one of the parties won’t have to use up taxpayer money on public welfare if it can be avoided. - Prenuptial or Postnuptial Agreements
If the couple signed a prenuptial or postnuptial agreement outlining how property should be divided, the court will consider the validity of that agreement. A properly executed and lawful prenuptial agreement can heavily influence how assets are distributed, often overriding the court’s presumption of a 50/50 division.
Conclusion: Fair Doesn’t Always Mean Equal
While Indiana law begins with the assumption that property should be divided equally, the reality of divorce is far more complex. Courts consider numerous factors to determine what is truly fair and equitable in each case. Understanding these factors and how they may apply to your situation can help you prepare for the process and ensure that your rights are protected.
If you are going through a divorce and want to learn more about your rights and the division of assets, contact our experienced attorneys at JSutton Law for a consultation.