How Division of Property in Ontario Works

Division of property in divorce Ontario
  • Division of assets in divorce focuses on the principle of “all things equal.”

  • Through a net family property (NFP) calculation you and your spouse share what was gained during your marriage.

  • Pensions earned during the marriage are property and are included in your NFP calculation.

  • If you started earning pensions before you got married, you begin calculating it on the date of your marriage and the date of your separation

  • Inheritances received don’t have to fall into your division of property.

  • Your matrimonial home has a special status under the Family Law Act.

  • There Are Exceptions to Equalization?

Property Division

Example Net Family Property Calculation

John J Smith Amount
Assets
Value of  Real Estate $1,200,000
Household (Cars, Boat Furniture, etc.) $55,000
Financial Accounts (Pension, Savings, RRSP etc.) $350,000
Other $15,000
Subtotal of Assets $1,620,000
Liabilities
Mortgage $275,000
Car Loan $9,000
Tax Allowance on RRSP and Pension $45,000
RE Disposition Cost $66,000
Subtotal of Liabilities $395,000
Date of Marriage Deduction
RRSP $12,000
Student Loan ($4,000)
Subtotal of Date of Marriage Deduction $8,000
Excluded Property
Kids RESP $23,400
Inheritance $50,000
Subtotal of  Excluded Property $73,400
Net Family Property Summary
Total Assets $1,620,000
Less Total Liabilities $395,000
Less Total Marriage Deduction $8,000
Less Total  Excluded Property $73,400
Net Family Property $1,143,600

Articles that may interest You!

Division of assets

Articles that may interest You!

Have a Question or two about a Soft Landing?

Schedule a Complimentary Get Acquainted Call

Free Legal Advice in Ontario

Discover free legal advice resources in Ontario to help you navigate the complexities of separation and divorce. Learn about various services, including legal information centers, hotlines, and pro bono clinics, designed to provide support and guidance during these challenging times. Empower yourself with the knowledge and resources to make informed decisions for your family's future.

About the Author:
Ken Maynard CDFA, Acc.FM

I assist intelligent and successful couples in crafting rapid, custom separation agreements that pave the way for a smooth transition towards a secure future. This efficient process is achieved in about four meetings, effectively sidestepping the excessive conflicts, confusion, and costs commonly linked to legal proceedings. Clients have the flexibility to collaborate with me either via video conference or in-person through a DTSW associate at any of our six Greater Toronto mediation centers, located in Aurora, Barrie, North York, Vaughan, Mississauga, and Scarborough.

Have a few questions -  Tap here to Schedule a Get Acquainted Call

 

 

Ken Maynard CDFA, Acc.FM