When couples here in Mid-Michigan divorce, the court must divide marital property in an equitable way under Michigan law. Courts must make a fair, not necessarily equal, division of marital assets. But what happens when one spouse has earned a professional degree during the marriage, such as a law degree, medical degree, or MBA?
Degrees Are Not Marital Property
Generally, Michigan courts have held that a professional degree itself is not considered marital property and cannot be divided in a divorce. Note that we’re talking only about graduate degrees, not undergraduate degrees. Unlike tangible assets such as a home, retirement account, or business, a degree cannot be sold, transferred, or directly assigned a dollar value for property division purposes in Michigan.
The Concept of “Concerted Family Effort”
While the degree is not divisible, Michigan courts have recognized that earning it often comes at a cost shared by both spouses. If both spouses planned for the degree together, made sacrifices, and reasonably expected to share in its benefits, the degree is considered to be a product of a “concerted family effort”. The non-degreed spouse may use this as a factor to argue for compensation during marital property division. Compensation might be a lump-sum payment, monthly installment payments, or an award of property. The rationale for this is restitution, designed to reimburse sacrifices made by the other spouse, which contributed to the degreed spouse’s educational achievement.
To determine if there had been a “concerted family effort”, courts look at evidence of:
- A mutual plan to pursue the degree and share future benefits
- Relocation for the educational program
- Decline in the family’s standard of living during schooling
- The non-degreed spouse’s financial contributions to tuition and living expenses
- Forgone career or educational opportunities by the supporting spouse
- Emotional and household burdens carried during the other spouse’s studies
Impact on Spousal Support
The enhanced earning capacity the degree provides can be relevant when determining spousal support. The Michigan Court of Appeals has recognized that the future income potential associated with a graduate or professional degree may justify ongoing support to the non-degreed spouse, usually in cases where the spouse was a homemaker. There are other important factors that your divorce attorney will ask the court to consider. On the other hand, the spouse that earned the graduate degree will be arguing against “double dipping” in a Postema claim. It’s complex with lots of legal angels to talk about.
Why Legal Guidance Matters
At The Kronzek Firm, we assist clients with all aspects of divorce all over the Lansing area and beyond, including Eaton County, Ingham County, Clinton County, and Livingston County. Cases can involve complex evaluations of financial and non-financial contributions, as well as strategic considerations for both property division and spousal support
📞 Our attorneys have helped thousands of Michigan clients over the last 30 years. You can reach our Lansing office 24/7 at (517) 886-1000. Virtual appointments and phone appointments are available during business hours, weekends, and after hours. You can also email our team at contactus@kronzek.law at any time.
[Disclaimer: This content is for informational purposes only and does not constitute legal advice. Consult an attorney for personalized guidance.]