Divorce can have a lasting impact on your financial future. Whether you are concerned about property division, spousal support, or protecting your business, understanding Illinois divorce law is essential. The decisions made during divorce can affect your financial stability for years to come. Illinois follows 750 ILCS 5/503, which governs how marital property is divided.
Unlike community property states, Illinois uses an equitable distribution system, meaning assets are divided fairly but not necessarily equally. This makes financial planning critical, as the outcome depends on various factors, including each spouse’s financial contributions and future earning potential. A Chicago divorce lawyer can help ensure that your financial interests are protected throughout the process.
Illinois law distinguishes between marital and non-marital property under 750 ILCS 5/503(a). Marital property includes assets acquired during the marriage, while non-marital property consists of assets owned before the marriage, inheritances, and gifts given specifically to one spouse. However, if non-marital assets are commingled with marital property, they may become subject to division. A lawyer can help track and separate non-marital assets to prevent unnecessary disputes.
Since Illinois follows equitable distribution, courts consider factors such as each spouse’s financial contributions, earning capacity, and future needs under 750 ILCS 5/503(d). A fair division does not always mean a 50/50 split. A lawyer can present evidence to ensure the court understands your financial situation, especially if you contributed more toward the marriage’s financial stability. If you own a business, real estate, or investment accounts, legal strategies can help protect those assets from unfair division.
Spousal support, also known as maintenance, is determined by 750 ILCS 5/504. Courts consider factors such as the length of the marriage, each spouse’s income, and their ability to earn a living. Illinois uses a formula to calculate maintenance for couples whose combined income is under $500,000, but judges have discretion in higher-income cases. Proper legal representation can help ensure that maintenance payments are fair and based on accurate financial information.
Retirement accounts, pensions, and investment funds are often among the most valuable assets in a divorce. Under 750 ILCS 5/503(b)(2), retirement benefits earned during the marriage are considered marital property. The division of these assets typically requires a Qualified Domestic Relations Order (QDRO) to ensure that funds are properly distributed without tax penalties. A lawyer can help secure a fair division while protecting your long-term financial security.
Some spouses attempt to hide assets to avoid sharing them during divorce. Under 750 ILCS 5/501, both parties must provide full financial disclosure. If there is suspicion of hidden assets, forensic accountants and subpoenas can uncover undisclosed bank accounts, property, or income sources. Legal action can ensure transparency and fairness in financial settlements.
If your business was started during the marriage, it may be considered marital property. However, if it was established before the marriage or protected through a prenuptial agreement, it may be classified as non-marital. Business valuation is crucial, and a lawyer can help ensure a fair assessment to protect your ownership and financial interests.
Spousal support depends on several factors, including the length of the marriage, income disparity, and the standard of living during the marriage. Illinois law provides guidelines, but courts have discretion in awarding maintenance. A lawyer can review your financial situation and argue for a fair outcome.
Retirement savings accumulated during the marriage are generally considered marital property. However, only the portion earned during the marriage is subject to division. A Qualified Domestic Relations Order (QDRO) can ensure that funds are split properly without tax penalties.
Marital debt, like assets, is divided equitably. If the debt was incurred for household expenses or joint purchases, both spouses may be responsible. Courts consider who benefited from the debt and each spouse’s ability to repay it. A lawyer can help negotiate a fair debt distribution.
Hiding assets is illegal, and courts take financial misconduct seriously. A lawyer can investigate financial records, use forensic accountants, and request subpoenas to uncover hidden income or undisclosed property. If fraud is discovered, courts may award a greater share of assets to the honest spouse.
A fair settlement requires full financial disclosure, proper asset valuation, and consideration of future financial needs. Working with a lawyer ensures that all aspects of your financial situation are properly presented and protected in court.
Divorce itself does not impact credit scores, but joint debts, missed payments, or improperly divided liabilities can cause financial issues. Ensuring that debts are properly assigned and paid can help maintain financial stability.
If spouses cannot agree, the court will decide based on equitable distribution principles. Presenting clear financial records and legal arguments can help secure a favorable outcome. Mediation or negotiation with legal representation can also help resolve disputes without court intervention.
Yes, a prenuptial or postnuptial agreement can outline how assets should be divided in a divorce. Illinois courts generally uphold these agreements if they were signed voluntarily and meet legal requirements under 750 ILCS 10/7.
If a spouse refuses to engage in the divorce process, the court can proceed with default judgments. This means the judge may rule in favor of the filing spouse if the other party does not participate. Legal representation ensures that your rights are protected even in contested divorces.
Divorce can have long-term financial consequences, but you do not have to face it alone. At Gordon & Perlut, LLC, we work to protect your financial future by ensuring fair asset division, spousal support, and retirement account distribution. Whether you are concerned about your business, investments, or debt obligations, we are here to guide you through the legal process and safeguard your financial interests.
If you’re considering divorce or have questions, contact our Chicago divorce attorney at our Chicago office at 312-360-0250 or our Skokie office at 847-329-0101 to arrange a free consultation. We represent clients throughout Illinois and are ready to help you protect what matters most.