Dividing assets during a divorce is often one of the most contentious issues. Texas follows a community property system, which can significantly affect how your property is divided in a divorce. Here's what you need to know.

1. Texas Is a Community Property State

This means that all property acquired during the marriage is considered jointly owned by both spouses, regardless of who earned it or whose name is on the title.

Examples include:

• Salaries

• Homes purchased after marriage

• Retirement accounts and pensions

2. Separate vs. Community Property

• Separate Property includes assets owned before marriage, inheritances, gifts, and certain personal injury settlements.

• It’s up to the spouse claiming separate property to prove it, often with clear documentation.

3. Equitable Distribution vs. Equal Split

While Texas presumes an equal 50/50 split, the court can divide property equitably, not necessarily equally. Factors include:

• Each spouse’s earning potential

• Fault in the breakup (e.g., infidelity, abuse)

• Custody of children

• Health and future financial needs

4. Common Mistakes to Avoid

• Hiding assets or failing to disclose property

• Commingling funds, making separate property harder to claim

• Not accounting for tax implications on assets like retirement accounts

Conclusion

Understanding Texas community property laws is essential when facing a divorce. Fair property division in divorce requires strategic planning and legal insight to ensure your financial future is protected.