Divorce and Finances: What Happens to Your Money?

Regime determines the split

In community of property, the joint estate generally splits equally unless a court orders otherwise. With accrual, each spouse shares in the growth of the other's estate from marriage date. Antenuptial without accrual keeps separate estates — but household assets may still be disputed.

The divorce order and settlement agreement must be precise on who keeps the house, bonds and retirement funds.

Pension interest is negotiable

Retirement fund benefits are often subject to a pension interest claim — a non-member spouse may receive a portion at divorce by court order. This is separate from maintenance and affects both parties' retirement projections.

Update beneficiary nominations and wills immediately on decree.

Rebuild on one household income

Two households cost more than one — duplicate rent, utilities and insurance. Model post-divorce budget before you agree to retain the marital home.

MyGenie's Major Life Change event illustrates cash-flow and wealth impact when household structure changes.

This article is illustrative and educational. It is not financial, tax, or legal advice. Figures are examples only — model your own situation in MyGenie or speak to a licensed financial adviser.