In a divorce case, we have a rule about not using the “F’ word. No, it is not that word, but it is the word “Fair”. Everyone wants a fair divorce settlement, but exactly what’s “fair”? There are two major issues that must be resolved in any divorce–how to divide assets and what to do about the kids. The major financial issues are to determine what assets belong to the community estate and what assets are separate property, who will pay child support, the amount of child … [Read more...]
3 Creative Ways to Divide a Marital Estate
For couples facing a divorce, it is often a time filled with feelings of sadness over the loss of the marriage relationship and anxieties about the future. These feelings can be further exacerbated when there is substantial marital debt. There are no easy answers for these situations, but in “no court” settlement processes, such as collaborative divorce, couples can often creatively approach the topic of their debts and develop options for resolution that are not usually available in … [Read more...]
How Does Collaborative Divorce Deal with Separate Property?
The short answer is: However you and your spouse can agree to handle it. There is a much longer answer, but before you get it, you need to make sure that you understand what separate property is. Under Texas law, the only property that is separate property is: Property owned before marriage; Property acquired by gift; Property acquired by inheritance; Property acquired based upon certain elements of personal injury claims; Property designated as such by a Prenuptial or … [Read more...]
Splitting Retirement Assets – Don’t Try This at Home!
Some things are meant to be shared, not divided. That statement is particularly true of retirement assets. 401(k)’s, IRAs and pension plans are notoriously difficult to split. Add in tax consequences and conflicting advice you might be getting from your family, neighbors, attorneys and the Internet, and you have a financial disaster in the making. Here is what you need to know to make good decisions. 1. Retirement funds added during the marriage are typically considered marital … [Read more...]
Isn’t Litigation the Best Option If I Don’t Trust My Spouse?
How can I know if my spouse is hiding assets? Full Collaborative Disclosure is the answer. How can you be certain your spouse has disclosed all marital assets during a divorce? The answer depends on how you divorce. In a litigated divorce, there is no duty of full disclosure, while in a collaborative divorce, spouses agree to voluntarily disclose all relevant information. A financially complex divorce generates conflict and may produce dishonesty as each spouse tries to get what they feel is … [Read more...]
