Five Helpful Ideas when Preparing for an Austin High Net Worth Divorce

 Posted on December 23, 2019 in High Asset Divorce

While very few of us ever get married with the intention of later filing for divorce, Texas residents file for divorce more often than you might expect. Making plans in the event of divorce are important for Austin residents of all income levels, but planning is particularly important for wealthy Texans and high earners. We want to discuss some tips for preparing for a high net worth divorce in Austin at multiple points in time—from the time of your marriage to the moments shortly after filing for divorce. If you need assistance with your divorce, an experienced Austin high asset divorce lawyer can help.

1. Sign a Prenuptial Agreement

Under the Texas Family Code, two people who are planning to get married can enter into a prenuptial (or premarital) agreement. While prenuptial agreements are helpful for people at all income levels, they are particularly necessary for individuals who are high earners or would anticipate a high asset divorce in the event the marriage does not last. In a prenuptial agreement, the parties can reach an agreement about how certain assets will be divided or distributed in the event of divorce.

2. Avoid Commingling Separate and Community Property

Avoid commingling separate property and community property wherever possible. In other words, any property you acquired before the marriage, or any property acquired through gift or inheritance during the marriage, should be kept separate. Do not use those assets to contribute to community property, such as investing separate property into a community property account or by using separate assets to improve the marital home.

3. Obtain Detailed Information About All Assets That May Be Classified As Community Property

Any property that may be classified as community property in your divorce should be identified and cataloged with as much information as possible. You should provide details about the date of purchase of the property, the purchase price, and any previous valuations or appraisals.

4. Seek Assistance Locating Any Suspected Hidden Assets

If you suspect that your spouse is hiding assets, you should work with your Austin high net worth divorce lawyer to locate hidden assets. There are a variety of ways in which assets may be hidden, and you may need to hire a forensic accountant to locate property.

5. Know That Your Divorce May Take Longer Than Others

With a high asset divorce in which the court is responsible for dividing community property, the divorce can take longer than a divorce with less complex and valuable assets. Many high asset divorces require complex property valuations that can take time, as well as complicated negotiations between the parties. If you are anticipating a high asset divorce in Austin, you should prepare for your divorce to take more time than a divorce with fewer and less valuable community property.

Contact a Texas High Net Worth Divorce Lawyer

Do you have questions about your high net worth divorce, or do you need assistance filing for divorce in Texas? An experienced Austin high asset divorce attorney can begin working with you on your case today. We have years of experience serving the Austin community with a variety of high net worth divorce issues. Contact Powers and Kerr, PLLC online call us at 512-610-6199 for more information.

Source:

https://statutes.capitol.texas.gov/Docs/SDocs/FAMILYCODE.pdf