The end of a marriage brings many significant changes in life, including personal finances. Regardless of how amicable a Texas couple is or how much wealth they have, property division will affect all aspects of their financial lives, including long-term savings. A divorce could end up decimating retirement savings which is why it is beneficial to give careful consideration to any choices made during this process.
Divorce is a financially complex process, and Texas couples will have to divide all of the assets accumulated over the course of the marriage. This can be especially difficult when two people are older or have been married for a long time. Gray divorce, which is a divorce involving two spouses over the age of 50, can be particularly complicated when it comes to property division.
There is one age group in Texas and beyond that has been filing for divorce at a greatly increased rate over the past two decades. People who are ages 55 and older are in this group, and many of them have determined they would rather start afresh on their own in life, even at an older age, than stay in unhappy marriages. Property division is often a complex topic in later-in-life divorces, especially regarding taxes and Individual Retirement Accounts.
Most couples today likely understand that the happily ever after in a marriage may not be attainable. For those couples who come to the realization that a marriage is no longer sustainable, there are many questions about how an impending divorce may affect future retirement plans. Texas residents who are preparing for a divorce while looking to save their retirement dreams may place an added emphasis on the property division aspects of their proceedings.
In a marriage, couples usually have a system for meeting financial goals. In the aftermath of a divorce, figuring out how to set new financial goals may take significant effort when working with limited resources. Though Texas is a community property state, along with negotiations over property division, there are several strategies that can be implemented to achieve financial security.
A divorce can be draining -- emotionally, mentally and financially. While it is unhealthy to remain in an unhappy marriage, entering into the property division proceedings without a clear plan for the future can threaten financial stability. Texas residents who are contemplating a divorce may wish to make preparations ahead of time.
Women often find themselves choosing to remain in an unhappy marriage rather than face financial hardship. Those who sacrifice their careers to raise a family, often find it difficult to re-enter the workforce. As a result, these Texas residents are understandably concerned about how the division of marital assets would impact their financial future if they choose to file for a divorce.
Couples who realize that a marriage is no longer sustainable often seek separation before they begin divorce proceedings. Those who have initiated those proceedings may believe that property division agreements only apply to those assets that were jointly owned during the time of their co-habitation in marriage. However, depending on the circumstances and Texas laws, assets that were acquired during a separation will likely be included.
The process of going through a divorce includes critical decisions that may impact one for the foreseeable future. If, during the divorce proceedings, one or the other spouses loses a job, then there will be concerns over property division. Texas residents who are preparing for a divorce may benefit from keeping all possible scenarios in mind.
The decision to divorce was probably made after much careful consideration. Likewise, when it comes to the property division settlement, Texas residents are encouraged to approach this process carefully. Though this is a community property state, the division of certain assets can quickly become complicated.