In Texas, the law assumes that anything you or your spouse earns or acquires during your marriage belongs to both of you equally. Your community property includes your income, home, vehicle, bank accounts and even retirement accounts regardless of whose name is on the title.
But when the marriage does not work out and it is time to divide assets, the court must do so in a way that is just and right. That does not always mean an even 50/50 split. Judges will always look at each spouse’s earning potential, health, fault in the breakup and other factors when deciding what is fair to both parties.
What stays as separate property?
Not everything you own is automatically divided equally. Separate property belongs only to one spouse and stays that way after divorce. This includes:
- Property owned by only one spouse before the marriage.
- Gifts or inheritances given to only one spouse during the marriage.
- Personal injury settlements (except for lost wages).
Note that you need to present unquestionable proof that the separate property belongs to you. So, secure documents, receipts or titles, otherwise, the court may categorize the property as community property.
When lines get blurred
There are instances where separate and community assets get mixed together. For instance, if you inherit a large amount of money and you deposit it to your joint account, the court may rule that the funds are community property because you willingly chose not to keep it solely under your name. In these cases, tracing ownership is difficult and may work against your favor.
Protect what is yours
Understanding the difference between community and separate property helps you prepare for marriage and all the legalities that come with it. If you want a clear guide on how to handle your properties upon divorce, work with a qualified Texas family law attorney to help you trace assets, gather proof and ensure your fair share of what you have earned.
