Nebraska Property Division: Equitable, Not 50/50
Nebraska is an equitable distribution state: unless the parties reach a conscionable settlement, the court orders a reasonable, equitable division of the marital estate, considering the circumstances, the length of the marriage and each party’s contributions, with no fixed percentage.
Equitable, not community property
The IRS describes the nine community property states in Publication 555: Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin. Nebraska is not one of them. If the parties fail to agree on a property settlement that the court finds conscionable, “the court shall order an equitable division of the marital estate” (Neb. Rev. Stat. 42-366(8)).
Reasonable
When dissolution is decreed, the court may order the division of property as may be reasonable, having regard for the circumstances of the parties, the duration of the marriage, a history of the contributions to the marriage by each party, including contributions to the care and education of the children, and interruption of personal careers or educational opportunities (Neb. Rev. Stat. 42-365).
Different purpose from alimony
The purpose of a property division is to distribute the marital assets equitably between the parties; alimony serves a different purpose, and the two are considered separately. Alimony may be ordered in addition to a property settlement award.
Settlement agreements
Spouses may sign a written property settlement agreement. Its terms, except those for the support and custody of minor children, bind the court unless it finds, after considering the economic circumstances of the parties, that the agreement is unconscionable.
Debts
The Supreme Court has said the debts of the parties should be considered in making a property division.
Documents to gather
Deeds, titles, account and retirement statements, loan balances, tax returns and business records.
Test a split
The Nebraska property division calculator starts at an equal share and lets you test other shares and the payment each one implies.
Frequently asked questions
Is Nebraska an equitable distribution state?
Yes. The court orders an equitable division of the marital estate.
Can a Nebraska court divide property unequally?
Yes. The statutes set no percentage, and the test is reasonableness.
Are debts divided in Nebraska?
The Supreme Court has said debts should be considered in making the division.
Can spouses agree on a division in Nebraska?
Yes. A written settlement binds the court unless it is unconscionable.
Which court divides property in Nebraska?
The district court, under Neb. Rev. Stat. 42-365 and 42-366.
Official sources
- Neb. Rev. Stat. 42-366: property settlements and equitable division
- Neb. Rev. Stat. 42-365: alimony and division of property
- IRS Publication 555: community property states
A local family law attorney can review your situation — many offer a free consultation.
This is general information, not legal advice. It is based on the cited Nebraska statutes, rules and court opinions, and every case turns on its own facts. Confirm how the law applies to your situation with a licensed Nebraska attorney.