When a couple divorces in Texas, dividing property and assets can be one of the most stressful and complicated parts of the process. Texas is a community property state, which means most property acquired during the marriage belongs to both spouses equally. But that doesn’t always mean everything will be split 50/50. Here’s what you need to know.
Community Property vs. Separate Property
Understanding what belongs to the marital estate—and what doesn’t—is the first step in dividing property fairly.
Community Property
Community property includes most assets and debts acquired during the marriage, such as:
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Income earned by either spouse
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Homes or vehicles purchased during the marriage
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Retirement accounts and pensions accrued during marriage
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Debts, such as credit cards or loans, taken on during the marriage
Separate Property
Separate property belongs solely to one spouse and generally includes:
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Property owned before the marriage
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Gifts or inheritances received by one spouse (before or during the marriage)
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Personal injury settlements (except for lost wages or medical expenses)
In Texas, the spouse claiming an asset as separate property has the burden to prove it with clear and convincing evidence.
Is Property Divided 50/50 in Texas?
Not always. Texas courts are required to divide community property in a way that is “just and right”, which isn’t always an even split. Judges consider a variety of factors when determining what is fair.
Factors the Court May Consider
When dividing property, the court may weigh:
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Disparity in income or earning potential
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Fault in the breakup of the marriage (such as adultery or abuse)
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Health and age of each spouse
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Custody of the children and who will provide primary care
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Contributions to the education or career of the other spouse
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Any wasting of community assets (excessive spending, hiding funds, etc.)
What Happens to the House?
The marital home is often the most valuable asset. The court may award it to one spouse, but that spouse will typically have to refinance the house into just their name alone (if both are on the mortgage) and give the other spouse half of any equity in the house. In some cases, the house may need to be sold and the proceeds divided.
Do We Have to Let a Judge Decide?
Not at all. Many divorcing couples reach agreements outside of court through mediation. You and your spouse can agree on how to divide assets and debts, and as long as the court finds it fair and legal, your agreement will typically be approved.
Speak With a Texas Divorce Attorney
Property division can have long-lasting financial consequences. Whether you’re concerned about protecting separate property, dividing a retirement account, or ensuring you receive a fair share, a knowledgeable Texas family law attorney can guide you through the process.
At The Law Office of Jonathan Tanaka, PLLC, we help clients throughout Texas navigate divorce and property division with clarity, strategy, and confidence.
Schedule a consult with me today – let’s take the first step together!
