When Texas couples who started a company decide to get a divorce, it can be difficult to determine what will happen to the business. If the couple did not have a buyout agreement when they founded the company, the business could end up being given to one of the estranged spouses or be sold altogether.
The largest issue in many divorces is how assets will be divided between the couple. Some spouses who are interested in ensuring that they receive an equitable portion of the property may miss out on assets that they have rights to because the assets are difficult to divide. While checking accounts may be easy to split up, this is not always the case with all the assets a couple may own.
Older people in Texas who are considering divorce may struggle with the emotional turmoil of ending a decades-long marriage as well as the practical difficulties of separating their life from that of their former spouse's. Research says divorce is on the rise among older adults, and this is reflected as well in the divorces of prominent couples such as Morgan Freeman and Myrna Colley-Lee, who were married for 24 years, and Al and Tipper Gore who were married for 40.
Baby boomers in Texas and across the country represent an age group with a rising divorce rate. The National Center for Family & Marriage Research found that between 1990 and 2014 divorces doubled for people age 50 and older. In the next age bracket of 65 and up, divorce rates tripled. When people at this age divorce, the division of retirement accounts can be a major concern.
When people divorce in Texas, finances are often a major concern. As part of the divorce settlement, issues such as property division, alimony and child support will either be negotiated between the spouses or decided by a judge. What many people do not realize, however, is that they may be entitled to claim Social Security on the earnings of their former spouse even after divorce.
A divorce may become a public affair whether an individual is a movie star like Johnny Depp or an everyday person looking to end his or her marriage. Almost any move that an individual makes with his or her property may be seen as an attempt to reduce a marital estate. For instance, Depp recently decided to auction off a portion of his art collection.
A Texas divorce can involve a number of important financial decisions, including those related to retirement accounts. The property division phase can be significant and complex, and without good guidance, an individual could give up an interest in an important asset without realizing the long-term ramifications. Because there are so many types of retirement accounts, good counsel is important.
When Texas residents who have retirement accounts divorce, they should expect that they will be required to divide those accounts with their spouses, regardless of who contributed the money. As a community property state, Texas views the account balances accumulated during the marriage to be the property of both spouses, and it will thus need to be divided.
Texas residents who are contemplating a divorce would do well to plan ahead so that they suffer less financial recovery time after their divorce is final. Being proactive at the outset can help minimize the potentially negative financial impacts the end of a marriage may bring.
Texas residents should be aware of the warning signs of financial fraud in a marriage. This type of activity most commonly occurs when family assets and income are intentionally misrepresented or hidden from the other spouse. This can lead to an unfair division of assets during the divorce in which one spouse does not receive the property to which they are entitled. Concealment is one of the elements that separate fraud from a simple financial mistake.