Common Family Situations in High Asset Divorces

 Posted on February 14, 2020 in High Asset Divorce

What makes a high asset divorce in Austin, TX  a high asset divorce? In other words, how much money does a married couple need to have in order to be considered to have a high net worth divorce? And when a married couple is anticipating a high asset divorce, how might the case differ depending upon the source of the assets and the likelihood that one or both spouses will continue to contribute to those assets in the future, even after they are divided as community property?

To be clear, not all high asset divorces are the same. For example, some involve two spouses who have both contributed significant assets to their community property through high-paying careers and family inheritances, while some involve scenarios in which only one of the spouses was the primary source of the monetary assets that make up the community property. These divorce cases can look quite different from one another, and the experienced Austin high asset divorce attorneys at our firm want to tell you more.

Both Spouses Were High Earners During the Marriage

When both spouses were high earners during the marriage, the prospect of dividing certain types of community assets under Texas law, such as retirement benefits or stock options, may not be as daunting since both parties likely anticipate that they will continue earning a substantial paycheck and benefits after the divorce and may not actually see any of those benefits transferred directly to a spouse. Moreover, when both spouses are high earners, the matter of alimony or spousal maintenance is often much less of a concern.

Only One Spouse Was the Primary Earner During the Marriage

When only one spouse was the primary earner during the marriage, the non-breadwinner spouse may be concerned about whether he or she will be eligible for alimony, and the spouse who was the primary earner may have concerns about paying alimony or support. Further, the division of community property may be much more contentious since one of the spouses may feel that she or he earned it while the other did not (although, of course, this is not how Texas views community property).

One of the Spouses Has Significant Assets from an Inheritance

When a large percentage of the assets came from an inheritance, it may be necessary to determine whether those assets are actually community property or separate property. In some scenarios, it may turn out that an inheritance that the spouses were both enjoying during the marriage is largely separate property and is not divisible as community property.

Prenuptial Agreement Exists and Addresses Assets

Many high asset divorces involve a prenuptial agreement. It will be extremely important to understand whether the terms of this contract are enforceable and how those terms may impact the division of community property. When a prenuptial agreement (also known as a premarital agreement) is in place, it may turn out that the divorce is not really a high asset divorce if the majority of the assets are not divisible per the terms of the agreement.

Contact a High Net Worth Divorce Lawyer in Texas

When you are anticipating a high net worth divorce in Austin, your planning goals—both during and after the divorce—can look very different depending upon how your family acquired substantial assets during the marriage and whether you anticipate continuing to build on those assets once you are divorced. An aggressive Texas high asset divorce lawyer can discuss your situation with you today and can help you to develop a strategic plan for moving forward with your divorce. A complex child custody attorney or complex litigation attorney can also assist you depending upon your particular needs. Contact Powers and Kerr, PLLC online or by phone at 512-610-6199 for more information.

Source:

https://statutes.capitol.texas.gov/Docs/FA/htm/FA.6.htm