If you are beginning a divorce in Nevada, one of the most important questions is how your property will be divided. Nevada is a community property state, which means most assets and debts acquired during the marriage belong to both spouses equally. In practice, that affects everything from your home and bank accounts to retirement benefits and credit card balances. This guide explains how Nevada courts classify property, how division works, and what exceptions might apply.
Community vs. separate property in Nevada
Nevada law presumes that all property acquired by either spouse during the marriage is community property unless a statute or written agreement says otherwise. Stated simply, if it was earned or acquired while married, it is usually shared.
Separate property is treated differently. Property owned by a spouse before marriage remains separate, as do assets a spouse receives after marriage by gift, bequest, or inheritance. The same is true for certain personal injury awards that compensate for a spouse’s pain and suffering. Separate property is not divided in the divorce unless the spouses agree.
How courts divide community property
Nevada courts must make an equal disposition of community property and community debts to the extent practicable. An equal split is the default. A judge may divide unequally only if there is a compelling reason that is set out in writing, such as waste, concealment, or other serious financial misconduct.
Equal does not always mean each physical asset is cut in half. Courts often award whole assets to one spouse and offset with other assets so that the overall division is equal in value. For example, one spouse may keep the house while the other receives a larger share of investment or bank accounts.
Debts and obligations
Community debts are typically divided the same way as community assets. There is an important protection for premarital debts. Nevada law provides that a spouse’s separate property and that spouse’s share of the community property are not liable for the other spouse’s debts that were contracted before the marriage. In short, a premarital credit card balance follows the person who incurred it.
Debt characterization can still require careful analysis. A debt taken during marriage for a non-marital purpose may still be community if it was incurred while married. How the money was used and who benefited often influences the outcome.
Common characterization issues: commingling, tracing, and transmutation
Even when categories seem clear, real life can blur the lines. Depositing separate funds into a joint account, using community money to improve a separately owned home, or using separate funds to start a family business can create questions about what is separate and what is community. Nevada courts often look to the source of funds and whether the owner intended to keep property separate. Where separate and community funds are mixed, a spouse may need to trace the separate contribution with bank records, closing statements, or other clear evidence. Written agreements can transmute property from separate to community or the reverse.
When can a court divide unequally?
Although equal division is the starting point, courts can deviate for compelling reasons that are set out in writing. Examples include the intentional dissipation of assets, secret transfers, or other financial misconduct that harms the community estate. Unequal division is the exception, and the judge must make specific findings to justify it.
Practical tips during your case
- Gather records early. Bank statements, retirement account statements, mortgage documents, business records, and tax returns help establish what is community and what is separate.
- Avoid commingling. Keep separate property in separate accounts when possible, and document any transfers.
- Consider temporary agreements. Short-term arrangements about who pays what during the case can prevent debt problems and protect credit.
- Use experts when needed. Business valuations, pension valuations, and forensic tracing can be critical in complex cases.
Plan with confidence
At Dempsey, Roberts & Smith, our full service team provides personal attention, clear answers, and timely legal work that protects your interests. We learn your goals, explain your options in plain language, and build a practical plan for a fair property division. If you are considering divorce or have questions about community property in Nevada, schedule a consultation or call (702) 830-4720. We are ready to help you move forward with clarity and peace of mind.