If you are facing a divorce, one of the most important components of this significant transition in your life is how your marital assets will be divided. The fact is that this division of assets and debts will significantly affect your financial future and must receive the careful attention it deserves.
Texas Is a Community Property State
Texas is what is known as a community property state. In essence, this means that all of the property that you and your spouse acquire throughout your marriage (regardless of who makes the purchase or whose name is on the title) is marital property that will be divided in a way that is just and right – or fair given the circumstances – upon divorce. Your marital property will not necessarily be divided equally between the two of you, however. All of the following factors can play a role in the court's determination of an equitable property split:
Your level of education, your employment prospects, and your ability to work – in relation to your spouse's
You and your spouse's separate property (that property that each of you brought into the marriage with you and kept separate throughout) and incomes – and if this is enough for each of you to live on post-divorce
Whether you have a valid prenuptial or postnuptial agreement in place that directly addresses the division of your marital assets and debts
Whether or not one of you wasted marital assets or committed financial fraud against the other during your marriage
The fact is that even in a relatively straightforward divorce, the division of marital property can quickly become a complicated – and heated – topic.
While the division of marital property is rarely simple, two factors tend to make it much more complicated. These are:
High Assets – If your divorce involves high assets, it makes the division of these assets that much more complicated (and often more contentious). High assets generally mean a more complicated financial portfolio and more diverse property holdings that must be carefully assessed before a fair division can be made. (Related: High-Assets Texas Divorce: An Even More Complicated Life-Altering Experience)
Business Ownership – Owning a business (even a small business) can seriously complicate the divorce process. This fact is especially true if both of you earn your incomes through that business. Selling the business means you will both be left without jobs, but if one of you purchases the other's share, it leaves him or her without an income. In other words, regardless of the outcome, it is a complicated process. (Related: Protecting Your Business in a Divorce)
Consult with an Experienced Killeen Divorce Attorney Today
Brett Pritchard is a dedicated divorce attorney at The Law Office of Brett H. Pritchard in Killeen, Texas, who is committed to skillfully advocating for a division of property that supports your best financial interests. We are on your side, so please do not hesitate to contact us online or call us at 254-501-4040 for more information today.