What is the difference between a year-end bonus and a performance bonus?

A year-end bonus is generally considered an asset if awarded for a period during the marriage, while a performance bonus may be treated as ongoing income if it’s awarded for performance after the divorce. The distinction is important because it affects how each bonus type is treated in property division versus cash flow analysis.

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Property Division Legal Overview

Learn about property division law generally and key differences between community property states and equitable division states.

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Employer Incentives

Walk through various considerations when valuing and dividing or buying out employer incentives, like bonuses or stock options.

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Property Division Introduction

Property division is one of the two financial categories addressed in divorce, focusing on the division of assets and liabilities, including real estate, debts, financial accounts, investments, automobiles and personal possessions.

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Balance Sheet

Learn about a balance sheet and how it can help you in the property division analysis.

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Locked Content

What is the difference between a year-end bonus and a performance bonus?

Property Division Legal Overview

Employer Incentives

Property Division Introduction

Balance Sheet

Was this module helpful?