In California divorce cases, several factors can influence how property or assets are divided. Here are some key considerations:nnSource Of FundsnnDetermining the source of funds used to acquire an asset is extremely important when calculating how assets are to be divided. Assets acquired during the marriage using community funds are typically considered community property and thus subject to equal division. However, if separate funds are used to acquire an asset during the marriage, the contributing spouse may have a separate property interest in that asset.nnReimbursement ClaimsnnWhen one spouse uses separate funds to improve community property or make significant contributions to community assets, they may be entitled to reimbursement for their separate property contributions.nnBusiness Ownership And GrowthnnThe division of business interests can be especially complex if the business was started or acquired before marriage but grew significantly during the marriage. In such cases, the community may have a claim to a portion of the increased value of the business attributable to the efforts and investments made during the marriage.nnLength Of MarriagennThe length of a marriage itself does not directly affect property division in California, but longer marriages often involve more intertwined financial assets and may lead to more complex property division issues.nnEffort And ContributionnnThe contributions of each spouse during the marriage, both financially and non-financially, are considered. This includes factors such as income, career sacrifices, homemaking, child-rearing, and other contributions to the family's well-being.nnAgreementsnnSpouses can also reach agreements regarding the division of assets through prenuptial agreements or postnuptial agreements, which may override certain default community property rules.nnCustodial ArrangementsnnCustodial arrangements for children can also impact property division, especially if one spouse is granted primary custody and needs a suitable living arrangement.nnI’ll provide a few examples that illustrate this in an easy-to-understand way.nnLet’s say you buy a house during your marriage and take it as joint ownership. The default is that the house is community property. However, let's say your spouse took $500,000 out of an inheritance account they had from before marrying you to use toward the down payment. This means your spouse has a separate property interest in the house because of the down payment.nnThere are multiple ways this could be addressed. For one, there is a dollar-for-dollar exchange where your spouse would just get their money back (see reimbursement claim above). There is also the idea that she owns a portion of the house as separate property and is also entitled not only to that back, but the percentage of the equity as well.nnAlternatively, let's say you marry someone who is a doctor with a private practice that’s just getting off the ground. Fast forward about fifteen years, and the practice has grown dramatically, now with multiple surgery centers, etc. Your spouse has put every single hour of time and ounce of blood, sweat, and tears necessary and possible into making this happen. Because California is a community property state, it means any work done by either spouse during the marriage is considered community property, including your income and, by extension, work effort. In this example, you'd have earned community interest in that separate property business.nnOn the other hand, let's suppose you marry someone whose father owns a joint medical practice with their other three children. Your spouse doesn't work for the practice, and thus, the business didn’t grow from your spouse’s efforts. As a result, it is separate property that has grown from its own separate property funds. (Rental properties are often similarly debated in divorce proceedings.)