How to Determine Marital Property in Nevada

Your spouse wants half of everything in your divorce – but what exactly counts as “everything”? If you’re facing a divorce in Nevada, you’re probably wondering which assets you’ll get to keep and which ones you’ll have to split. The answer might surprise you. You might find yourself saying things like “I inherited this from my grandmother so it belongs just to me” or “The business was started before we married, so it’s separate property” or “My retirement account is in my name only.” While these statements make logical sense, Nevada’s community property laws don’t always work the way you’d expect.

Want a simple solution? Our Nevada Marital Property Calculator is a great starting point for your discussion with your lawyer.

What Counts as Marital Property in Nevada?

Nevada follows community property law, which is outlined in NRS 123.220. Here’s what this means in plain English: generally speaking, anything you or your spouse acquired during the marriage belongs to both of you equally. It doesn’t matter whose name appears on the title, deed, or account statement. Let’s look at a real-world example. Say you and your spouse bought a house during your marriage for $400,000. Only your husband’s name appears on the deed because his credit score was better at the time. You contributed $50,000 for the down payment from your personal savings account. When it comes time for divorce, many people assume the wife would only be entitled to her $50,000 contribution. Wrong. The entire house is marital property because it was purchased during the marriage, regardless of whose name is on the deed or how much each person contributed to the purchase.

This community property rule extends far beyond just real estate. Your marital property includes bank accounts, investment accounts, stocks, bonds, and yes, even retirement accounts like 401(k)s, IRAs, and pensions, even if only one spouse contributed to them during the marriage.

Common Types of Marital Property

Real estate tops the list of marital assets. This includes your primary residence, vacation homes, and rental properties. That cabin in Tahoe you bought in year two of your marriage? It’s marital property, even if you’ve been the only one using it.

Financial assets encompass far more than many people realize. Beyond checking and savings accounts, this includes investment portfolios, retirement accounts, and even stock options. Imagine a teacher has worked for 15 years of marriage, building up a pension worth $200,000. Even though the spouse never taught a day in their life, that pension is marital property because it was earned during the marriage.

Business interests can be particularly complex. If you own 30% of a restaurant and the business appreciated in value during your marriage, that growth is typically considered marital property. Even if you started the business before getting married, any increase in value that occurred during the marriage may be subject to division.

Personal property includes vehicles, jewelry, art collections, and collectibles. That classic car collection you started before marriage but expanded during? The cars added during the marriage are marital property, and even the original cars might be subject to division if marital funds were used for maintenance or restoration.

Don’t forget that debts and liabilities are also part of the marital estate. Credit card debt, mortgages, and business loans acquired during marriage typically belong to both spouses, regardless of whose name is on the account.

What’s NOT Marital Property?

Separate property generally includes property owned before marriage, gifts given specifically to one spouse, and personal injury settlements awarded to an individual spouse. However, there’s a major trap here called commingling.

Here’s a real scenario that illustrates the danger: John inherited $100,000 from his father and kept it in a separate account for two years. Then, he decided to deposit that money into the joint account he shared with his wife to help pay for home renovations. By mixing his inheritance with marital funds, John turned his separate property into marital property. The lesson? Keep separate property separate if you want it to remain yours alone.

The rules around appreciation can be tricky. Let’s say you owned a stock portfolio worth $50,000 before marriage, and it grew to $150,000 during the marriage through passive appreciation (no additional contributions from either spouse). In Nevada, this growth might still be considered separate property, but if marital funds were used to manage the portfolio or if both spouses made investment decisions, the appreciation could become marital property.

How Nevada Courts Actually Divide Property

Nevada law presumes an equal 50/50 division of marital property, but courts can deviate from this based on specific factors. The length of the marriage plays a significant role. A 20-year marriage will be treated differently than a two-year marriage. Courts also consider each spouse’s financial condition after the divorce, contributions to property acquisition (both financial and non-financial), and career sacrifices made by either spouse. For example, in a 10-year marriage where one spouse gave up a medical career to raise children, the court might award that spouse 60% of the marital assets to account for lost earning capacity.

Duration matters significantly. In a three-year marriage where one spouse brought substantially more assets into the marriage, the court might deviate from equal division to avoid an unfair windfall to the other spouse. Other factors that might play a part in the determination include one spouse’s ability to provide for themselves and the intentions of the spouses when they combined property.

Documentation Matters More Than You Think

When trying to figure out the marital property for your divorce, there’s some things that you should keep in mind. Never try to hide assets. Nevada courts take a dim view of this behavior and may award more property to the other spouse as punishment. Don’t spend down marital assets before filing for divorce in an attempt to keep them from your spouse. And never assume that just because your name is on a title, it’s automatically your separate property.

Keep meticulous records of your separate property. If you inherited money, have bank statements showing the inheritance deposit and how you kept it separate. If you owned property before marriage, maintain documentation of its pre-marital value. Professional valuations are essential for complex assets. Business appraisals and property assessments provide accurate values the court can rely on. Retirement accounts often require a Qualified Domestic Relations Order (QDRO) to properly divide them without triggering tax penalties.

Why Experience Matters in Nevada Property Division

Property division disputes can become incredibly complex, especially when businesses, real estate, or significant financial assets are involved. Every case is unique, and the specific facts of your situation will determine how your property is divided. What seems like a straightforward division can quickly become complicated when you factor in tax implications, liquidity concerns, and future financial needs.

Don’t wait to get professional help. Property values change daily, retirement accounts fluctuate, and business values can shift dramatically. The sooner you understand what’s at stake, the better you can protect your financial future. The divorce attorneys at Kelleher & Kelleher have spent years helping Las Vegas families through these challenging situations. We understand how Nevada courts approach property division, and we know the local judges and their tendencies. Contact us today at (702) 384-7494 for a consultation about your specific situation.