Is Idaho a Community Property State?

Idaho is a community property state, which means that any property obtained by either spouse over the course of a marriage is owned jointly.
Written by Claire Beaney
Reviewed by Melanie Reiff
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There are only nine community property states in the United States, and
Idaho
is one of them. For every divorce that occurs in the state, both parties are given half of the marital assets (which can include income, possessions, and even debt).
Divorce is always a stressful process, and the added burden of dividing assets can make it even harder. If one person gets the TV, does the other get the couch? And who gets the house itself?
In these kinds of disagreements, the question of who owns something can become contentious. The majority of states allow you to claim your personal property, but in community property states like Idaho, that property must be split 50/50.
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What is a community property state?

In general, community property refers to property and assets acquired by either you or your spouse throughout the marriage. A community property state enforces this law and ensures both spouses get their possessions split 50/50 in the event of a divorce.
This community property can include personal belongings, cars, marital home, income, stocks, bank accounts, and even debt acquired during the marriage.
Idaho is a community property state, as well as:
  • Arizona
  • California 
  • Louisiana
  • Nevada 
  • New Mexico
  • Texas
  • Washington
  • Wisconsin
Other states in the US have a common law property system, which allows divorcing spouses to claim any income or assets in their name. You can obtain all of your assets in a common-law divorce as long as your ex's name isn’t on the paperwork.
The goal of community property states is to make divorce processes smoother by splitting everything equally.

Separate property vs. joint property

Most property acquired during the marriage is susceptible to community property law, with a few exceptions. Separate property can include the following:
  • Property owned individually by you or your spouse prior to your marriage.
  • Property obtained independently as a gift or inheritance by you or your spouse (even if received after you married)
  • Property purchased with separate-property funds by either you or your spouse.
  • Money earned by you or your spouse while residing in a separate-property state.

What is considered community property in Idaho?

In Idaho, community property is defined as property acquired by either spouse throughout the marriage. If you live in Idaho, you're likely to encounter the same community property assets and exceptions listed above.
Income from separate property is deemed community property if you and/or your spouse are domiciled in Idaho unless there’s a written agreement to keep it separate.
Your domicile is the location of your permanent home, and the state in which the spouse resides determines how the law perceives your assets.
Some assets can also be both community and separate, such as a business that one spouse established before marriage and continued to operate after.

What if there’s a prenup?

To avoid Idaho's community property laws, a prenuptial agreement can be used. Creating a prenup agreement is one approach to prepare ahead regarding how your financial assets will be divided in the event of a divorce—and will take priority over the laws of your state.

How is community property divided in Idaho?

Divorce proceedings can still be hard, even if community property is meant to make it as simple as possible—how can you split a car in half?
In Idaho, community property can be divided in one of two ways:
  • Reach an agreement with the opposing party in the divorce.
  • Allow a judge to split the property.
When dividing property to each spouse, the judge will consider the type of property, the individual spouses' finances, child custody, and other relevant concerns. They will ensure that the total quantity of property gained by each spouse matches the net value of the other spouse's property.

How to save on home and car insurance in Idaho

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It all depends on when you purchased the ring. If you bought it before you and your spouse married, it could be deemed separate property. Your ring may be regarded as 
a gift as well, in which case the community property law would not apply.
No, what is deemed community property is established by the date the asset was acquired, not by the reasons for your divorce.
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