How to Divide Three Important Assets in an Illinois Divorce

 Posted on July 23, 2026 in Asset Division

Divorce is often an emotionally draining experience, but it can also be financially daunting, especially when it comes to the assets you own. Splitting your assets during divorce is often a lengthy process, and it can be very frustrating if you and your ex-spouse get into bitter arguments about who gets what or how certain property should be allocated. 

At A. Traub & Associates, our Schaumburg, IL family law attorneys have over a century of combined experience, which has given us a deep understanding of how to handle property disputes. We will tailor our strategy to suit your needs, keeping your best interests at heart when dividing complex assets.

What Are the Most Complex Assets to Divide in a Divorce?

Illinois law dictates that marital property is subject to equitable distribution, while non-marital property is not. Generally speaking, marital property includes any assets that were acquired during the marriage (750 ILCS 5/503). However, some separate property from before the marriage can end up becoming marital property if it is mixed or improved with joint funds. 

It is important to understand how to divide certain assets, including the following types of marital property.

The Marital Home

The simplest and often easiest way to divide the marital home is to sell the house and split the proceeds. This works if neither spouse has a particular attachment to the home, and it offers a less stressful way of dealing with what is often one of the most valuable marital assets. 

Selling also removes the need to keep making joint decisions about the property after the divorce, such as who pays for repairs or how the mortgage gets handled. Before you sell your home, you should get the house appraised so you know exactly what your property is worth. 

Alternatively, one spouse could continue living in the home and buy out the other spouse’s share using other marital assets. This requires the spouse who wants to stay in the home to be able to afford the home on their own income or retirement funds. 

Family Businesses

Dividing a family business during an Illinois divorce starts with figuring out what the business is actually worth. A professional valuation is almost always needed to set a fair number. A valuation expert may look at the company's income, its assets, its debts, and its future earning potential. The process typically also involves reviewing tax returns, bank records, and contracts to get a full picture of the business. 

Once the value is agreed on, the next step is deciding how to divide it. In many cases, one spouse keeps the business and pays the other spouse a fair share of its value through cash, other property, or a structured payment plan. This approach can help avoid the stress of running a business with a former spouse. In other cases, spouses may choose to sell the business and split the proceeds.

Retirement Accounts

When it comes to retirement accounts, the type of account you have will determine how you will divide the funds. If one spouse has a 401(k) in your name, the spouses will need to use a Qualified Domestic Relations Order (QDRO) to allocate the owner’s share of the funds to the other spouse without triggering early withdrawal penalties. The QDRO will state how the funds will be disbursed.

If one spouse has an IRA that will be divided, funds are typically rolled over to the other spouse’s IRA to avoid tax penalties. This is known as a "transfer incident to divorce."

Why Are Appraisals Important During Divorce Property Division?

An appraisal helps put a real number on what a property is worth. This is critical for houses, businesses, retirement accounts, and other high-value assets. Without an accurate appraisal, one spouse could end up with far less than a fair share. 

A professional appraiser looks at market conditions, comparable sales, income potential, and other factors. This number then becomes the basis for negotiations or a judge's decision. Skipping this step, or relying on guesswork, can lead to an unfair division down the road. A well-supported appraisal gives both spouses and the court a clear starting point for dividing marital property. 

How Can You Resolve Property Disputes in a Divorce?

Property disputes often come down to disagreements over value, ownership, or fairness. Many couples try to resolve these disputes through negotiation, with each spouse's attorney working toward a settlement both sides can accept. 

Mediation is another option. In this setting, a neutral third party helps both spouses talk through their disagreements and reach common ground without going to trial. This process can save time, money, and stress compared to a courtroom battle. 

If negotiation and mediation do not work, the dispute may end up in front of a judge. The judge will review financial records, appraisals, and other evidence before deciding how to divide the property. Whatever path a couple takes, having clear documentation and a well-organized case makes the process smoother and more predictable. 

What Can You Do if You Think Your Spouse Is Hiding Assets in 2026?

Hidden assets are a serious problem in some divorce cases. One spouse might try to hide money in a secret account, undervalue a business, or transfer assets to a friend or family member. If you suspect this is happening, start by putting together all the financial records you can find. Bank statements, tax returns, and business documents can reveal inconsistencies with spending or cash flow. 

An attorney can also request formal discovery, which requires your spouse to disclose financial information under oath. In more serious cases, a forensic accountant can trace missing funds and uncover hidden assets. 

Courts take hiding assets during divorce seriously. A spouse who hides property faces real consequences, including a larger share of assets awarded to the other spouse. Acting quickly and working with an experienced attorney can help protect your fair share of the marital estate. 

Contact a Palatine, IL Divorce Attorney

If you’re getting a divorce and having to decide to divide assets, our Schaumburg, IL property division lawyers can provide you with clear guidance and focused representation. Contact A. Traub & Associates at 630-426-0196 to schedule an initial consultation today.