Dividing marital property during a divorce in Texas is guided by specific legal principles that are designed to ensure fairness. Here’s a short overview from Houston divorce lawyers on how Texas courts handle the division of assets.

How Do Texas Courts Divide Marital Property During a Divorce? Answers from Houston Divorce Lawyers

A Community Property State

In a community property state like Texas, assets acquired during the marriage are generally considered to be jointly owned by both spouses, including income, real estate, and personal property. There are exceptions, however. Separate property includes assets owned by one spouse prior to the marriage, any individual inheritances, and gifts given to only one spouse. In Texas, community property is subject to division during a divorce while separate property typically remains with the original owner.

Equitable Distribution of Community Property

In Texas, the court seeks a “just and right” division of community property, which may not always mean a 50/50 split. The court aims to distribute property fairly, considering the specific circumstances of both spouses. Portions of retirement accounts and pensions earned during the marriage are also considered community property. This includes 401(k) plans, IRAs, and pension plans.

Dividing complex assets such as these often requires a Qualified Domestic Relations Order (QDRO) for proper distribution. The court typically assesses the value of these accounts and may offset them against other assets, such as home equity, to achieve a fair division that considers both current and future financial needs. For help or if you would like to find out more about dividing complex assets.

Equitable Distribution of Debts

All debts incurred during the marriage are considered to be community debts under Texas law, meaning both spouses are responsible for repayment. This includes mortgages, credit card debts, and car loans. The court will typically assign debts based on the same factors used to divide assets: equitable, which is not necessarily equal. The goal is to ensure that both parties leave the marriage with a fair share of both assets and liabilities.

Common Factors Considered in Equitable Distribution

The Length of the Marriage

Longer marriages may result in a more equal division, while shorter marriages might lead to a division that reflects each spouse’s contributions.

Each Spouse’s Earning Capacity

The court may award a larger share of the property to the spouse with a lower earning potential, especially if one spouse has sacrificed career opportunities to support the family.

Fault in the Breakup of the Marriage

Although Texas is a no-fault divorce state, the court can consider whether one spouse’s actions, such as adultery or abuse, contributed to the divorce. This can affect how the property is divided.

The Health of Each Spouse

If one spouse has significant health issues that may affect their ability to work, the court may award them a larger share of the property.

The Needs of the Children

If one spouse will be the primary caregiver for the couple’s children, they may receive a larger portion of the marital home or other assets to ensure stability for the children.

If you’re facing a divorce and have concerns about how your property will be divided, it’s wise to consult with a legal professional who can help you understand your rights and options under Texas law.