How Are Assets Divided in Colorado?

If you’re going through a divorce in Colorado, you might be worried about how your property will be divided. While the process can be straightforward, there are some important things to understand about what property is included and what isn’t.

Colorado is a "marital property" state, which means only property acquired during the marriage is divided during divorce. If you and your spouse can’t agree on how to divide property, a judge will decide based on what’s fair, not necessarily equal. This means the split might not always be a straight 50/50 division; instead, the court considers various factors like the length of the marriage, each spouse’s income, and each spouse’s contributions – both financial and non-financial – to the marriage.

What Property Is Subject to Division?

Marital Property: This includes all assets and debts you and your spouse acquired together during the marriage. Examples of marital property are:

    • Real estate (like your home)

    • Investments (such as stocks, bonds, and your business)

    • Vehicles

    • Personal belongings, including pets

Separate Property: This refers to items acquired before the marriage or received as a gift or inheritance. Generally, separate property isn’t divided during divorce. However, any increase in value of separate property during the marriage can be considered marital.

Retirement Accounts: Different types of retirement accounts have their own rules for division. For example, dividing a 401(k) can differ from splitting a pension or an IRA. It’s important to consult an attorney who understands the specific rules for the retirement accounts involved.

Understanding how assets are divided can help ease some of your concerns during this difficult time. If you have questions or need guidance through the process, I’m here to help. Let’s start a conversation about your situation and find the best way forward together.