In Massachusetts the courts generally accept a fair and reasonable property division the parties agree to, but if the parties cannot agree, the property is divided by the Family Court within the Judgment of Divorce. Massachusetts courts take into consideration numerous factors when dividing marital property, including but not limited to, length of the marriage, how much each spouse added to the marriage, the amount each spouse earns or is capable of earning, their ages, health conditions and conduct during the marriage.

Massachusetts also allows couples to make prenuptial agreements, which set out the terms and conditions of a property settlement in the event of a divorce. When the agreement is freely entered, the courts generally uphold the terms and divide property as the prenup dictates, even when the division is at variance from the state laws.

Massachusetts is an equitable distribution state. Equitable does not mean equal, but rather what is deemed by the Family Court to be fair.

According to the Massachusetts General Law, Chapter 208 Sections 1A and 34, in dividing property, the court considers:

Unlike many states, Massachusetts does not make any distinction between marital property and separate property when dividing property in a divorce. It is a "kitchen-sink" state, and the court can divide any property owned either by the husband or spouse, or both at the time the couple files for divorce. Even if the property was inherited by one spouse or the other, it is, as they say, in the pot, and subject to division.

Massachusetts divides marital property based on an equitable distribution basis. This means the court will divide all marital assets and debts based on what it believes to be fair. This does not necessarily mean that each spouse receives an equal portion because the court can make any distribution as long as it finds it equitable. Couples can come to their own agreement about dividing property, but if they cannot agree the court will make the determination on their behalf.

First, the court classifies assets and liabilities, property and debt, as marital or separate. Then it assigns a monetary value to the marital property and debt. Finally, it distributes the marital assets between the two parties in an equitable distribution.

In Massachusetts, as in many jurisdictions, the equity in the marital home is often one of the biggest assets the spouses divide. The equity is the market value of the house, less any debts or liens against it. Equity is established by determining what the current market value of the home is at the time of separation. Once the spouses agree to a current market value, any debts associated with the property (mortgage, taxes, home equity loans, etc.) from are deducted the market value to arrive at the equity to be divided. Normally, making this calculation requires a paid real estate appraisal or a real estate agent can prepare a market analysis for free.

From there, couples choose one of three options to divide the equity:

In Massachusetts, vested pensions are marital property. A pension vests when all the requirements to receive the pension have been met. Unvested pensions are also marital property. Until the pension has vested, the person under whom the pension is maintained has only an expectancy of interest in the pension.

Several different methods of valuation are used in determining how much a marital asset is worth, depending upon the asset to be valued and the level of agreement between the parties. Courts generally accept the value when the spouses mutually agree on a value of a particular asset. Experts may be retained by the parties or by the courts to determine the value of marital assets if the parties cannot agree. Such experts may include accountants, real estate or business appraisers, or pension valuators. The use of experts adds to the cost of the divorce.

In Massachusetts the court may include the retirement benefits and plans earned by both spouses as marital assets available for division. Retirement benefits vary greatly but can generally be divided into two groups:

In Massachusetts, if spouses share in each others retirement or pension plan, a Qualified Domestic Relations Order must be completed. A QDRO is a written set of instructions that explains to a plan administrator that two parties are dividing pension benefits. The instructions set forth the terms and conditions of the distribution, including how much of the benefits are to be paid to each party, when such benefits can be paid, and how such benefits should be paid.