An equalization payment is a sum of money one spouse pays the other to balance an unequal property or debt allocation. When it is not possible or practical to divide assets precisely in half one spouse may keep more than their share of certain assets and pay the other spouse a lump sum to equalize the overall division.

Equalization payments must be supported by the math. The Arizona Court of Appeals confirmed in Grandell v. Grandell in May 2026 that a court abuses its discretion when the equalization payment ordered is not supported by the evidence in the record.

Equalization payments can be structured as lump sums, installment payments, or offsets against other obligations.