How Inheritances Are Classified During Divorce in Florida
Divorce proceedings in Florida often involve the complex division of assets, and one area that frequently raises questions is how inheritances are treated. Unlike many other assets acquired during a marriage, inheritances have specific rules under Florida law regarding their classification and distribution.
Marital vs. Non-Marital Property
Florida follows the principle of equitable distribution, meaning that marital assets are divided fairly, though not necessarily equally, upon divorce. However, inheritances generally fall under non-marital property, which means they typically remain with the spouse who received them.
Under Florida Statutes § 61.075, assets are classified as either marital or non-marital:
- Marital Property: Includes assets and debts acquired by either spouse during the marriage, regardless of whose name is on the title.
- Non-Marital Property: Includes assets acquired before the marriage and those received individually as gifts or inheritances, even if obtained during the marriage.
When Inheritances Can Become Marital Property
While inheritances are usually non-marital property, there are situations where they can be subject to division:
- Commingling of Assets: If the inheritance is mixed with marital funds—such as depositing it into a joint account or using it for joint expenses—it may be considered a marital asset.
- Transmutation: If inherited property is used to purchase marital assets, such as a home jointly titled to both spouses, it could lose its non-marital classification.
- Use for the Benefit of Both Spouses: If an inheritance is used to pay for family expenses, investments, or significant marital debts, a court may determine that it has become marital property.
- Spousal Contributions: If one spouse contributes to maintaining or improving an inherited asset (e.g., renovations on an inherited home), that spouse may claim an interest in the appreciation of the asset’s value.
Protecting Your Inheritance During Divorce
To ensure an inheritance remains separate property in Florida, individuals can take the following precautions:
- Keep Inherited Funds in a Separate Account: Avoid mixing the funds with joint marital accounts.
- Maintain Separate Ownership of Inherited Property: Keep inherited real estate or other assets titled solely in the recipient’s name.
- Consider a Prenuptial or Postnuptial Agreement: These agreements can specify that an inheritance remains non-marital property regardless of its use.
- Maintain Proper Documentation: Keep records of all transactions related to the inheritance, including bank statements and titles, to prove its non-marital nature.
Conclusion
In Florida, inheritances are generally classified as non-marital property, meaning they are not subject to division in a divorce. However, various factors, such as commingling and transmutation, can alter this classification. To protect an inheritance, individuals should take proactive steps, such as keeping funds separate and considering legal agreements. If you are facing a divorce and have concerns about an inheritance, consult with an experienced Tampa divorce attorney at The Law Office of Laura A. Olson, P.A. Contact our firm today to discuss the details of your divorce and to begin planning ahead.
Source:
leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=0000-
leg.state.fl.us/Statutes/index.cfm?App_mode=Display_Statute&URL=0000-
