Community Property
A U.S. state-level legal distinction of a married individual's assets. Property acquired by either spouse during the course of a marriage is considered community property. For example, an IRA in the name of an individual with a spouse, accumulated during the course of the marriage, would be considered community property.
Also known as "marital property". Investopedia Says:
This legal definition exists to protect spousal rights. Generally, the spouse of the retirement account owner who resides in a community or marital property state must be the sole primary beneficiary of an investment account designated as marital property, unless the spouse provides written consent to have someone else designated as primary beneficiary of the retirement account. Usually, gift and inherited assets are not considered community property. Related Terms:
Individual Retirement Account - IRA
Joint Life With Last Survivor Annuity
Marital Deduction
Marital Property
Married Filing Jointly
Married Filing Separately
Prenuptial Agreement
Spousal IRA |