Frequently Asked Questions:  Community Property

 
WHAT IS COMMUNITY PROPERTY?
In California, community property is defined as all the assets and earnings a married person acquires during marriage except things acquired by gift, bequest or devise.
 

IF I AM SEPARATED FROM MY SPOUSE, ARE MY EARNINGS STILL COMMUNITY PROPERTY?
No. In California, separate property is defined as all the assets and earnings acquired by a married person prior to marriage, during marriage by gift, bequest, or devise, or after the date of separation.
 

HOW IS COMMUNITY PROPERTY DIVIDED UPON DIVORCE?
Upon divorce, California community property is divided equally between both spouses unless there is a valid written agreeement otherwise. However, the law does not require that each asset be equally divided between both spouses. Rather, all the law requires is that the "net value" of the assets received by each spouse be equal.
 

MY SPOUSE HAS A PENSION.  AM I ENTITLED TO A PORTION OF MY SPOUSE'S PENSION AND EMPLOYMENT BENEFITS?
Yes. That portion of a retirement, profit-sharing, pension plan, or other employment benefit accumulated during marriage is community property and divided 50%-50% in a proceeding for Dissolution of Marriage.
 

ARE THERE ANY SPECIAL RULES REGARDING THE DIVISION OF A PENSION OR RETIREMENT PLAN?
Yes. A judge can reserve jurisdiction over the pension plan until the employed spouse retires. In this case the court awards the other spouse a percentage of each pension check. Alternatively, a judge can award the other spouse the "cash-out" value of that spouse's share of the pension plan. In a "cash-out," an actuarial evaluation of the pension plan is obtained.
 

WHAT ABOUT THE FAMILY RESIDENCE?
When there are minor children, the custodial parent and the children are allowed to continue to live in the family residence for a specific period of time. At the end of this period, the family residence may be sold and the proceeds split between the parties.