A marital break up can be a hard life situation to go through. The dissolution of a family unit is never easy, and the emotional stress can take a severe toll on the separating parties. Divorce and separation can also bring on financial pain, especially for partners who are not used to or have never had the responsibility of handling the couple’s finances. Texas couples who are poised for a separation or have recently parted ways will likely want to focus on protecting their financial assets.
Before an engagement party is in the process of being planned, a couple may want to consider a prenuptial agreement, especially if one or both parties are coming into the marriage with considerable assets. This agreement, which is usually drawn up by an attorney representing one of the parties, can specify previous assets (and debts) to be designated as separate (non-community) property. Knowing what each spouse has acquired before and after the marriage certificate is signed will help each person to possibly receive what is their fair share if a divorce should occur down the line.
Both spouses will want to keep up with payments on any shared expenses and debt during the separation and divorce process. Doing so will keep blemishes off of credit scores. A favorable credit score will help each party establish individual financial households. Reviewing wills, insurance policy beneficiaries and retirement accounts will also help alleviate future issues with regard to financial payments.
A divorce in Texas does not have to leave both spouses hurting financially. A prenuptial agreement and a shared focus on financial planning and investing will help both parties leave the dissolution of the marriage in a state to help them move forward. A family law attorney can help finalize a prenuptial agreement to protect individual assets before a marriage. If the marriage is already established and headed for divorce, an attorney can help with property division and all other divorce issues.
Source: The Huffington Post, “Victim of ‘Divorce Season’? Protect Your Finances“, March 30, 2017