Posted on May 17, 2023 in QDROs, Pensions and 401(k)s

Many people in the state of Texas remain unaware that their retirement and investment accounts may be subject to division in the event of a divorce. In many divorce cases in Texas, retirement and pension accounts make up a major portion of marital assets, so it is important to understand how these assets may be divided.

Types of Retirement Accounts

There are typically two types of retirement accounts:

Defined Contribution Accounts

Defined contribution accounts are accounts in which a spouse makes a monetary contribution. The benefits of the account are based on the contributions made to the account and any investment returns on the money saved in the account. 401Ks and individual retirement accounts (IRAs) are two types of defined contribution accounts.

If the contributions to the account were made during the marriage, the contributions would be considered community property.

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 Posted on May 08, 2023 in Child Custody

Child custody and relocation are two highly complex issues that can greatly impact the lives of children involved in a divorce or separation. Following a separation or divorce, Texas courts often encourage joint conservatorship so both parents share rights and responsibilities in raising their children. Parents considering relocation must understand the potential impact it may have on their child custody arrangement and the emotional well-being of their children. 

In this guide, we will discuss the impact of relocation on children and the legal considerations that must be taken into account in such cases.

Legal Considerations for Child Custody and Relocation

When parents separate, one of the most challenging issues they face is determining their children's custody and visitation schedule. When one parent desires to move to a new location that is a significant distance away, it can add complexity to child custody issues. The court examines various factors when deciding custody arrangements, such as the child's age, requirements, and relationship with both parents. In situations where a parent wants to relocate, the court considers additional factors that are as follows:

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 Posted on April 25, 2023 in Divorce

Divorce in Texas is a complex process that becomes even more complex when high-value assets are involved. In high-asset divorce cases, Texas couples and individuals must consider the tax implications associated with property division, spousal support, and child support.

There are various tax implications that come into play when you get a divorce in Texas, and these can have an impact on distribution of marital assets and other aspects of your case. This is why it is always important to consult a trusted Austin high-asset divorce attorney on such matters.

That being said, let’s discuss the tax considerations involved in a high-asset divorce case in Texas and a few strategies you can use to minimize tax liabilities.

Capital Gains Taxes

Capital gains taxes are taxes paid on the profits made from the sale of an asset. These taxes are an essential consideration in a high-asset divorce case involving assets such as real estate property, vehicles, etc.

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 Posted on April 19, 2023 in Child Support

If you have children, child support becomes a core part of divorce in Texas and the wellbeing of your children is a major priority for the courts. However, child support can become a bit more complex in a high-asset divorce.

Parents going through a divorce in Texas are subject to statutory mathematical formulas to determine their child support obligations. In this blog, we will discuss Texas child support guidelines, some unique challenges, and practical steps that high-income parents can take to ensure a fair and reasonable child support agreement.

Texas Child Support Guidelines

There are specific guidelines for calculating child support payments in Texas. These payments are based on the net monthly income of the non-custodial parent. The non-custodial parent pays a percentage of their net monthly income, based on the number of children they are supporting.

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 Posted on April 11, 2023 in High Asset Divorce

Texas divorces can be challenging at the best of times, but things become exceptionally tricky when high-net-worth couples are involved. One of the main issues in such high-asset divorces is the discovery of hidden assets.

Hidden assets are funds and properties that one spouse may try to conceal from the other spouse, their attorneys, or the court, in order to avoid losing them during property division.

Often, spouses may transfer these funds and assets to offshore accounts, to hide them from their partner during a divorce. However, an experienced and resourceful Austin high-asset divorce attorney can help find these assets and ensure that their client receives a fair settlement.

Here are several ways to find money and assets hidden in offshore accounts during a Texas divorce, and how a high-asset divorce attorney can help:

Attorney Experience and Network

Hiring an experienced high-asset divorce attorney is the first step in finding hidden assets. These professionals have extensive experience in dealing with complex financial matters of divorce, and often a network of finance professionals, forensic accountants, and international professionals who can help uncover hidden assets.

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 Posted on April 04, 2023 in High Asset Divorce

Getting a divorce in Texas can be a complex and stressful ordeal, and things become even more complex when it is a high-asset divorce. Division of assets is a common point of contention in a high-asset divorce, especially when it comes to inherited assets.

Of course, you should always consult an Austin complex property litigation attorney or an Austin high-asset divorce attorney for guidance on your individual case.

That being said, let’s discuss how inherited assets are handled in a Texas divorce.

 Inherited Assets Can Become Subject to Division

In Texas, inherited assets are typically considered separate property by the law, meaning they belong solely to the spouse who received them and are not subject to division in a divorce.

However, it is important to note that if inherited assets have been commingled with marital assets (common in longer marriages), or used to benefit both spouses, they may become subject to division.

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 Posted on March 31, 2023 in Divorce

When a couple gets a divorce, they often think that once the divorce is final, their connection to each other will be done. In some ways that is true. The marriage is over. The division of assets and property is usually addressed within weeks or months following the divorce. Quit claim deeds are recorded, vehicle titles transferred, QDRO agreements for retirement accounts drawn up, etc. But there are some areas of divorce that do not end when the ink is dried on the divorce decree.

Child support is one issue that is decided in divorce that is often long-term. The financial obligations of one spouse to the other can last for years. This is why many divorces include a clause that requires one or both parents to obtain life insurance policies that will provide financial support for the child should something happen to the parent.

Child Support

Parents are usually required under Texas law to pay child support until the child turns 18 or graduates from high school, whatever is secondary. In some cases, the parent is required to provide support if the child attends college after they complete high school.  

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 Posted on March 21, 2023 in Divorce

Every divorce has its own unique issues that must be addressed, however, for the most part, the process for each divorce is similar. However, when it comes to high asset divorces, the discovery, negotiations, and ultimate decree can be much more complex than a divorce that does not involve high net-worth assets. This is why it is important to have an attorney who is experienced and skilled in high-asset divorces. The following are some of the factors that indicate having a law firm that regularly handles complex divorces, like Powers Kerr & Rashidi, PLLC, is in your best interest.

Numerous Real Estate Holdings

While many married couples own the home they live in, couples involved in high-asset divorces often own several properties. In addition to the marital home, they can own vacation homes, rental properties, commercial properties, and land.

Investments

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 Posted on March 14, 2023 in Family Law

One of the most difficult decisions in a divorce for a couple who has children is how the parenting time of the children will be divided. Multiple studies have shown that children benefit from having both parents actively involved in their lives. This has led over the past few years to more and more family court judges leaning towards shared custody of the child instead of one parent having primary custody and the other parent having a visitation schedule.

In most shared custody cases, the child goes back and forth between each of the parent’s homes. They have two bedrooms, two sets of clothes, two sets of toys, etc. And although the child is benefitting from having both parents active in their life, it can still be difficult for the child who is always going from one house to another, with issues popping up, like forgetting their favorite stuffed animal that they sleep with at night at their other parent’s house. A fairly new type of custody may solve these types of issues, but is it workable in all cases?

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 Posted on March 07, 2023 in High Asset Divorce

While many Americans have heard about Bitcoin and other cryptocurrencies, less than 25 percent say they know a lot about them. If you are involved in a high-asset divorce and suspect your spouse may hiding assets, cryptocurrencies could be the perfect hiding place if you yourself are not familiar with these assets.

With only a small amount of people actually familiar with cryptocurrency, it is important to work with a high-asset divorce attorney and other financial professionals who are familiar with and experienced in finding hidden cryptocurrencies. Although each spouse is required to disclose all assets in their financial affidavits, including the value of any crypto assets, it is not surprising that a spouse on a mission to hide assets would not make this disclosure on their affidavit.

Where to Look for Crypto Assets

There are multiple exchanges where crypto assets can be purchased. If a spouse has purchased these assets, then the first place to look would be in their bank and credit card statements. Some of the exchanges to look for include:

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