In Texas, divorce laws are the same, no matter how much money you have. However, with such a wide range of assets up for property division, high net worth divorces are definitely more complicated. Between complex real estate empires, spousal support, and child custody, success requires a divorce lawyer who is uniquely suited to the task of navigating these challenges.
Here’s what you need to know about hiring a high net worth divorce attorney in Texas and what the Warren & Migliaccio team can do to protect your interests during this important process.
How is a High Net Worth Divorce Different than Others?
On its face, a high net worth divorce isn’t too different than the regular kind—in fact, all the basic elements and applicable laws are the same. The only real difference? Income level.
High net worth divorces involve wealthy couples with extensive real and personal property. While there’s no official dollar amount, these households generally have at least one to five million dollars in liquid assets. Assets come in many forms, including cash, bank accounts, real properties, vehicles, boats, artwork, and jewelry. Not to mention a wide array of investments, retirement accounts, stocks and bonds, trusts, bitcoin, and debt.
Couples with this kind of wealth generally choose to spread their money across many different industries and investment options. These interests often cross state lines and may even involve international laws. This means that the complex task of dividing marital property suddenly becomes much more involved for high net worth couples.
This infographic outlines critical considerations for high net worth divorce attorneys in Texas, emphasizing the importance of managing complex assets, ensuring fair property division, and securing accurate valuations, while also addressing child support, tax implications, and asset protection.
Dividing Marital Property in a High Net Worth Divorce
The good news is that high net worth divorces are governed by the same family law rules as regular divorces. The bad news is it’s still complicated.
Texas is a community property state. This means that any assets, debt, interest, or obligation acquired during the marriage belongs to both partners equally—regardless of whose name is on the contract, paycheck, deed, or card. This property is called “marital property” and must be divided between spouses upon divorce.
Separate property, on the other hand, belongs to one spouse outright. Under the Texas law, property is separate when it:
- Belonged to one spouse prior to marriage.
- Was received as a gift or inheritance.
- Was received as an award for personal injury.
- Involves interest or gains that can be directly traced back to any of the previous categories.
Separate property does not have to be divided and will leave with its respective owner after divorce.
The Importance of Having a High Net Worth Divorce Attorney
While the rules governing marital and separate property might seem straightforward, they can quickly become complicated—especially for a high asset divorce. With so many important investments, properties, and financial interests at play, you’ll want a keen divorce attorney who is prepared to handle the complexities of a high net worth divorce.
Here’s a closer look at some areas where one such attorney might be valuable.
Complex Asset Valuation
Not all divorces require financial experts, but high net worth divorces almost certainly do. Depending on the circumstances, you may need a CPA or property appraiser. Other cases might require a forensic accountant or business valuation. A good divorce lawyer will work in tandem with these experts and rely on their judgment to help formulate legal strategies and secure an equitable distribution of marital assets.
Child Support and Alimony
In a high net worth divorce, the standard rules for calculating child support and alimony don’t apply. This is because children have a right to enjoy the same lifestyle as their parents and shouldn’t have to suffer economically for their parents’ divorce. Similarly, a spouse shouldn’t have to face poverty simply for leaving a bad relationship.
Hence, Texas judges are free to adjust baseline amounts whenever the standard rates don’t reflect a fair arrangement, and having a skilled attorney defend your interests can be a valuable asset during these uncertain negotiations.
Tax Considerations
Money equals taxes. With so many marital assets at play, high net worth couples have many tax implications to consider. A good lawyer will ensure you get the best deductions possible—consulting with financial experts along the way—and ensure you aren’t liable for unnecessary penalties after divorce.
Navigating a Prenuptial Agreement
A prenuptial agreement is a contract couples can make before marriage, which outlines the terms of any potential divorce. A well-written pre or postnuptial agreement can simplify the divorce process and keep costs minimal. However, if the agreement is flawed or one party decides to challenge the arrangement, this complicates things. A skilled high asset divorce lawyer helps ensure a contract’s terms are implemented fairly and as the parties intended.
Maximizing Asset Protection
Unfortunately, it’s not uncommon for spouses to try and hide assets from divorce court. This is especially true in high net worth divorces, where there are so many moving parts to keep track of. An experienced divorce lawyer knows how to uncover hidden assets and can help ensure you get your fair share of the property division.
Talk to a High Net Worth Divorce Attorney Today
High net worth divorces are complicated and require a legal team capable of handling its unique challenges. At Warren & Migliaccio, we understand these complex divorce needs and are passionate about helping our clients fight for what they deserve. For questions regarding high net worth divorce we want to hear from you. Call our offices today at (888) 584-9614 for a free consultation, or contact us online and let one of our experienced divorce lawyers fight for your rights during this important process.
