Property Division in California Divorce: What You Should Know!

Dividing property can be one of the most stressful parts of the divorce process. California is a community property state, which means most assets and debts acquired by either spouse during the marriage are generally split equally between spouses. Understanding how the legal process works — and what to expect — can help you protect your financial future.

At Law Office of Angel J. Jordan, APC, we help clients navigate property division with clarity and confidence, ensuring their rights are protected at every step.

What Qualifies as Community Property?

In California, community property generally includes:

• Income earned by either spouse during the marriage

• Homes, vehicles, and other property purchased during marriage

• Retirement accounts, pensions, and stock options accumulated during marriage

• Debts acquired before separation (such as credit cards, loans, or mortgages)

What is Considered Separate Property?

Separate property generally includes:

• Assets owned before the marriage

• Inheritances or gifts given specifically to one spouse

• Property acquired after the date of separation

• Certain personal injury settlements

However, disputes often arise when separate and community property become mixed — for example, when one spouse uses inheritance money for a joint purchase.

How Courts Divide Property in a California Divorce

California law requires a 50/50 division of community property. However, this does not always mean every asset is split in half. Instead, courts strive for an equal distribution of value.

For example:

• One spouse may keep the family home, while the other receives retirement funds of equal value.

• Debts are also divided equally, regardless of which spouse incurred them.

Because property division can be complex, especially with businesses, investments, or commingled property, having the right legal representation is critical.

Protecting Your Assets During Divorce

If you’re facing divorce in California, here are some helpful tips to protect your property rights:

1. Gather financial records — bank statements, tax returns, mortgage documents.

2. Avoid hiding assets — this can result in legal penalties and damage your credibility in court.

3. Consider mediation — resolving disputes outside of court often saves time and money.

4. Work with an experienced divorce attorney who can identify strategies to protect your financial interests.

FAQs About Property Division in California

1. Does California always split property 50/50 in divorce?

No. Although California is a community property state, meaning assets and debts acquired during marriage are generally split equally, there are exceptions, such as when one spouse breaches a duty owed to the other spouse.

2. What happens to the family home in a divorce?

The home may be sold and the profits divided, or one spouse may keep it while the other receives assets of equal value.

3. Can I keep my retirement account?

Retirement accounts earned during marriage are considered community property. Many retirement accounts are divided using a Qualified Domestic Relations Order (QDRO).

4. How is debt divided in a California divorce?

Generally, debts acquired during marriage are split equally. Therefore, even if only one spouse used the credit card or took out a loan, both spouses are responsible for the debt.

5. Can a prenuptial agreement change property division rules?

Yes. A valid and enforceable prenuptial or postnuptial agreement can override California’s default community property laws.

Take the Next Step

Property division in divorce can be overwhelming, but you don’t have to navigate it alone. At Law Office of Angel J. Jordan, APC, we fight to protect your financial future and ensure a fair outcome.

📞 Call us today at (818) 456-4203 for a consultation.