Sorting Out Property: Dividing Assets in Canadian Divorce

When a marriage ends, there’s a lot of sorting out to do, both emotionally and legally. One of the most important parts is dividing up the things you own, like money and property. In Canada, there are laws to make sure this is done fairly. Let’s take a closer look at how asset division works during divorce proceedings.

Marital Property Laws:

In Canada, each province and territory has its own laws about dividing property in divorce. But the general rule is this: things you got during the marriage get divided, while stuff you had before or received as gifts usually stays with you.

Equalization of Net Family Property:

Most provinces use the idea of “equalization of net family property.” Here’s how it works:

1. Calculation: We figure out how much each person was worth when they got married and compare it to what they’re worth now. That tells us their net family property.

2. Equalization: If one person has more property than the other, they might have to give half of the extra stuff to the other person.

Categories of Assets:

The things being divided can be anything from houses and money to pensions and cars.

Consideration of Family-Owned Businesses:

If you own a business together, figuring out how to split it up can be complicated.

Interplay with Spousal Support and Custodial Arrangements:

It’s important to remember that dividing property is different from sorting out spousal support and child custody. But these things can affect each other, so they need to be thought about together.

How We Can Help:

During a divorce, working with Integrity Tree Financial and their legal team can make things easier. They’ll help find the best solutions and keep everything private and professional. Splitting up property can be tough, but it can also be a fresh start for both people. 

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