The end of a marriage can have a major impact on the current and future finances of a Hawaii couple. In many cases, retirement accounts are some of the largest assets held by spouses. Especially if they have been married for many years, a divorce may mean a substantial division of these funds between the two parties. Even when retirement is years away, divorce can still have a serious impact. That's why it is important to understand how ending a marriage can affect different kinds of savings plan.
How property is divided in divorce
Divorcing couples in Hawaii might approach the issue of property division with some confusion about how the law decides which spouse gets what. Though some states divide marital property equally on the basis of community property law, Hawaii uses the legal theory of equitable property division. While community property states divide property in a 50-50 split, equitable division means a fair division that is not necessarily equal.
