Co-Mingled Property in Divorce: What It Is and How to Handle It
Dividing assets during a divorce can be a complicated process, especially when it comes to co-mingled property. Co-mingling happens when separate assets, like property you owned before your marriage, are mixed with marital assets during the marriage. This can happen with bank accounts, businesses, real estate, and more. Understanding how to handle co-mingled property is important to make sure assets are divided fairly through a divorce.
What is Co-Mingled Property?
Co-mingled property refers to assets that are mixed between you and your spouse. For example, you may have started a marriage with a car, a bank account, or a business that you owned before you were married. Over time, however, you might have added joint deposits or shared expenses, which creates a mix of separate and shared property.
A common example of co-mingled property is a joint bank account. If you or your spouse deposit both pre-marital and marital funds into the same account, it becomes difficult to tell how much belongs to whom. This same idea applies to homes, cars, retirement accounts and even businesses that may have started as individual assets but became mixed over time. As a result, determining what belongs to whom can become complicated when it’s time to divide assets in a divorce.
How Do You Deal with Co-Mingled Property During Divorce?
When it comes to dividing property in a divorce, dealing with co-mingled assets can get tricky. Since the property is mixed, it can be difficult to figure out how much of it is considered marital (belonging to both spouses) and how much remains non-marital (belonging to one spouse.
In many cases, you may need to hire a forensic accountant to review records and determine the value of the non-marital portion of the asset. For example, if one spouse had a bank account before marriage but continued to add money during the marriage, an accountant can help separate the two types of funds.
It’s important to note that co-mingling doesn’t only apply to physical assets like property and bank accounts—it can also apply to student debt. Some states treat student loans as marital debt if one spouse paid them off during the marriage, while others may classify them as a non-marital debt if the loan was incurred before the marriage. This can create confusion, especially if the other spouse has contributed toward paying off the debt. In such cases, a legal professional may be needed to help clarify the situation and determine the fair division of responsibility for the debt.
How to Avoid Co-Mingling Assets
If you want to avoid the hassle of co-mingling, there’s a simple rule: keep individual assets in your own name. If you don’t want something to become marital property, don’t add it to joint accounts or put it in both names. If you’re unsure about how to protect your assets, consider a prenuptial agreement. This can give you peace of mind knowing your individual property will remain separate.
Contact the Law Offices of Robert J. Merlin, P.A.
Co-mingled property is a common issue during divorce, and it’s something that you need to think about carefully. If you’re facing a divorce and have co-mingled assets, it’s important to consult a legal expert to guide you through the process. The Law Offices of Robert J. Merlin are here to help. Our team can guide you through the process, protecting your assets and making sure your divorce proceeds as smoothly as possible. Contact us today at (305) 448-1555 to schedule a consultation! The Law Offices of Robert J. Merlin, P.A.
are located at 250 Catalonia Ave, Suite 706, Coral Gables, FL 33134.
Robert J. Merlin is Board Certified in Marital and Family Law by The Florida Bar since 1994 and a Florida Supreme Court Certified Family Court Mediator. He is also an Accredited Collaborative Professional through the Florida Academy of Collaborative Professionals and is widely respected for his commitment to non-adversarial divorce and family law solutions.
Robert has been recognized as one of the Top Lawyers in Florida by Florida Super Lawyers Magazine since 2009, named to the Florida Legal Elite by Florida Trend Magazine since 2008, and listed among the Top Lawyers in South Florida by the South Florida Legal Guide Magazine since 2003.
Bob Merlin is a Florida Bar Board Certified Family Law Specialist, he practices in the areas of divorce, time-sharing of children and parenting plans, child support, alimony, paternity, pre-nuptial and post-nuptial agreements, and cohabitation/partnership agreements.
As an experienced Collaborative attorney, Bob continually hones his skills in the Collaborative Process and trains other professionals how to become a Collaborative professional as he is.
“My goal is to help divorcing and other family law clients make well-informed decisions so they experience a more efficient process and feel more in control over their futures.”
