Austin Asset Division Attorney
Austin Asset Division Attorney Overview
- What Is Considered Community Property
- The “Just and Right” Approach
- Find the Help You Need Near You
- Negotiating Property Settlements Vs. Taking the Case to Trial
- Legal Solutions for Life's Challenges
- Frequently Asked Questions
- Meet Our Attorneys
- How an Austin Asset Division Lawyer Protects Your Wealth
- Expert Strategies, Industry Trends, & Firm News
Nearly every family in the country has been touched by divorce. Whether it’s someone in your immediate family, your neighbor, or parents at the kids’ school, divorce is commonplace. What isn’t common is how the divorcing couple handles themselves.
Every situation is unique.
Some couples might go through a “friendly divorce” where everything is decided without arguments, and the couple enters into a productive coparenting relationship. Other couples are more contentious, with every item they need to resolve turning into a battle.
That usually happens when there is residual pain from what led to the breakup of the marriage, along with a sense of betrayal. If you’re entering into a divorce, you don’t want things to get messy. Here in Texas, you’re required to go through a 60-day waiting period before the divorce can be finalized.
During that time, the hope is that you can work out your differences and present an agreement to the court that both sides will sign off on.
To get to that point, you’ll need the services of an experienced Austin family law attorney who has extensive knowledge of Texas divorce laws, especially as it pertains to asset division. You don’t want your divorce to turn ugly. When you understand what you’re entitled to and what you might have to compromise on, things will go a lot smoother.
That means you can get on with your life.
What Is Considered Community Property
There is a lot of commingling that happens in every marriage. In some cases, it begins before the vows are exchanged when you open up a joint checking account for household expenses or add each other to existing credit card accounts.
As far as the courts are concerned, the day you get your marriage license is the day the marriage begins. From that moment forward, any asset that is purchased or debt that is incurred is considered jointly owned. That is what will need to be divided in the divorce.
What does that look like specifically? Here’s what might be considered:
- Houses
- Cars
- RVs
- Boats
- ATVs
- Land
- Furniture
- Electronics
- Art
- Appliances
All of these items could be considered joint property if they were acquired after the marriage, regardless of whose name might be on the title. In addition to physical property, financial accounts must also be considered.
These include the following:
- Checking account
- Savings account
- Pension
- 4019(k) plans
- IRAs
- Credit card balances
- Mortgages
- Car loans
Again, anything that was generated after the marriage is considered a community asset.
Even if you have a private checking account, any money you earn after the wedding that goes into the account would be considered jointly owned.
Is it fair that you should “share” what you earned? You might not think so, but in a divorce, all those assets go into the big “pot” and must be divided. That is where things can get contentious. It’s also when you want a skilled divorce attorney to be your advocate.
The “Just and Right” Approach
It would be easy for a Texas family court judge to obtain a list of all marital assets and divide them in half.
For example, if the couple bought a home for $400,000, they would either have to sell the home and split the proceeds or one partner would “buy out” the other partner’s share and take over complete ownership. That is the strict 50/50 approach.
However, the asset division laws for Texas allow for a “just and right” approach.
That means the division of assets needs to be fair and equitable. A judge will make that determination based on the following factors:
Earning Power: What are the disparities in income between the spouses? What are the prospects for future earning or employability? That could help determine how to split the money earned by both spouses during the marriage.
Fault and Responsibility: Texas is a no-fault divorce state. That means you can file for divorce simply because you want to end the marriage and you don’t need any other reason. However, if there was a definite reason such as cruelty or adultery, the court might lean towards the spouse who didn’t cause the problem.
Child Custody: The courts will also consider which spouse will have primary custody of the children and what financial needs will be associated with that custody.
Contributions: If one spouse stayed home to raise the kids, that helped with the family’s finances. The same can be said if one spouse supported the other while they went through college before landing a job. Those kinds of support have value.
The court will also look at the ownership of an asset. If something was acquired before the marriage, that would not be considered community property. The same rule could apply to an inheritance that was bequeathed solely to one spouse.
It is a lot for a judge to consider, and that is another reason why you want an experienced attorney acting in your best interests.
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Negotiating Property Settlements Vs. Taking the Case to Trial
You don’t go from serving your divorce papers on Monday and getting the divorce signed on Wednesday. The mandatory waiting period in Texas is designed to provide two things. It’s a chance to reconsider if divorce is really something you want. If it is, then this period gives you the chance to work things out. It all comes down to negotiating a property settlement versus taking the case to trial. Here’s how that breaks down:
Property Settlement
If you and your soon-to-be ex are able to make the final choices regarding asset division, child custody and support, you’ll maintain the control. Otherwise, the judge will make the call, and you might not like the outcome.
Once a judge rules, your options to appeal are limited. That is why it is in your best interests to settle.
Time is also a factor to consider. Settlement negotiations can often be concluded in a matter of weeks or months. That can make a difference when you want to move on with your life. Cost is another plus to add in the settlement column.
A protracted court trial will cost more in witness fees and other litigation expenses.
Privacy is another major consideration. The moment you step into a courtroom, everything that follows becomes a matter of the public record. That means anyone can get into your business.
Taking the Case to Trial
When you file for a divorce, you will spend time before a judge. How much time will depend on what you bring before the judge. If you present the judge with an agreed settlement, they will conduct a review, affirm that both parties agree, and then issue your divorce.
If there is no settlement, you’ll present all your issues to the judge for a final decision.
On the plus side, the judge might ultimately award you a higher portion of the assets when they apply the “just and fair” metrics. That can only happen if your attorney presents strong evidence. However, getting there can take months or years. Yes, divorces can drag on when there are many disputes.
As you begin the divorce process, the legal team at Davis & Associates will lay out all your options and help you make an informed decision about the best course of action.
- Family Law
- Divorce
- Child Support
- Divorce Mediation
- Fathers Rights
- Child Custody
Find the Help You Need Near You
Texas is a community property state, but this does not strictly guarantee a 50/50 split. The law requires a ‘just and right’ division, which allows judges to consider factors such as fault in the breakup, earning capacity, and child custody when allocating assets.
Contributions made to a retirement account during the marriage are considered community property and are subject to division. A Qualified Domestic Relations Order (QDRO) is typically required to split these funds without incurring early withdrawal penalties or immediate tax hits.
If the home was purchased before marriage, it is generally considered separate property; however, the community estate may be entitled to ‘reimbursement’ if marital funds were used to pay the mortgage or fund improvements. An experienced lawyer can help calculate these claims to protect your equity.
How an Austin Asset Division Lawyer Protects Your Wealth
Dividing property during a divorce is about far more than deciding who gets the house and who gets the SUV. Every financial decision you make today can affect your long-term financial security. When you retain the services of an experienced Austin asset division lawyer, you’re getting an advocate who will always put your interests first.
At Davis & Associates, we know that no two divorces are alike. Some couples can benefit from a straightforward property division, where both parties are in agreement.
Other divorces involve private businesses, investment portfolios, retirement accounts, and real estate holdings that complicate matters. There is also the issue of debt. Who will be “stuck” with that? When our team comes on board, everything will be considered through the lens of what is fair and works best for our client.
We have a dedicated team of financial professionals, business valuation experts, and forensic accountants who can do a deep dive into your spouse’s assets.
Our goal is to make sure everything is on the table, and nothing is hidden.
Whenever possible, we pursue practical, cost-effective solutions through skilled negotiation or mediation. We also recognize that sometimes a spouse refuses to negotiate fairly. If that happens, we’ll be fully prepared to present a strong case on your behalf in court.
We have decades of combined experience navigating the Austin family courts. When your financial future is on the line, experience matters. If you are preparing for divorce or have concerns about protecting your assets, let’s talk about how we can help.
Call to set up a consultation, and we can walk you through what should happen next.
You’ll feel a lot better when you’ve got Davis & Associates in your corner.
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