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Specialty tag(s): Child Support, Divorce for Business Owners, Divorce

Balancing Support Payments with Business and Financial Commitments in a Divorce

Ryan R. Bauerle | November 1, 2023

Businessman in office with young daughter looking at his laptop

Business owners understand risk. After all, there’s no guarantee that your business is going to succeed when you start it – and a lot of factors can influence your profitability. But when business owners go through a divorce, it adds a whole new level of uncertainty. In order to make sure that child support is properly calculated, and that each child needs is adequately provided for, it’s important that the courts have a clear picture of your finances as a business owner.

When all parties can collaborate effectively, a resolution that respects the goals of your business and the needs of any children is more attainable. It’s this same collaboration that sets the lawyers of Goranson Bain Ausley apart from others. Our client-centric focus, paired with our business acumen, gives us a unique skill set that best serves business owners and their families throughout the divorce process.

We work with families to align the best interests of your business with those of your family to ensure that support payments are calculated properly and with a clear understanding of your business income and financial commitments. Our professional divorce attorneys will work to be transparent and helpful above all else when explaining how the income generated by your business will be factored into child support calculations. There are no simple answers, but experience can provide some indication of what to expect.

How Can I Ensure That Any Child Support Payments Take into Consideration My Business Income and Financial Commitments?

The best way to ensure that your child support payments are proportional to your income is to provide complete and accurate financial statements. If your income regularly fluctuates do not imply that one particular statement is indicative of how they all look. If you can provide accurate documentation that proves where your money is coming from and what it is going to every month, you’ll be putting your best foot forward with the court and help to ensure that the child support payment amounts that the court orders are calculated properly. With accurate documentation provided, your experienced and knowledgeable attorney will be able to work towards a reasonable resolution that respects your family and your business.

It’s important to note that in Texas, child support payment amounts are typically calculated by the court based on the obligor’s net monthly income, subject to statutory guidelines. In limited circumstances, the Courts may deviate from these guidelines.

Learn More About Child Support Laws in Texas

How Can I Balance the Need to Protect My Business and Maintain a Sense of Compassion Throughout the Divorce Proceedings?

In the midst of a divorce, feelings of uncertainty and fear are normal, especially when there is a business on the line, but those feelings don’t need to take center stage when all parties demonstrate a commitment to effective collaboration. Working with level-headed council that values transparency and compassion makes all the difference in managing the complexities of divorce and business ownership.

A willingness to approach divorce negotiations with an open mind and with the goal of a mutually beneficial division of assets and in matters related to child support is also important in achieving a settlement that all parties can agree on. One thing you can do as a business owner that can make this easier is to keep your business and personal finances completely separate. If you can provide clear documentation that shows your business is not connected to your personal assets aside from the regular paychecks that the business pays you, this reported income should form the basis of calculations of child support. The farther apart you keep your personal and business finances, the better off you’ll be.

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Ryan R. Bauerle is a skilled litigator and strong negotiator; he regularly obtains favorable settlements without ever stepping foot in the courthouse. Ryan works with clients to evaluate the pros and cons of their options, including costs, to make sound and efficient decisions about moving forward. Ryan is Board Certified by the Texas Board of Legal Specialization in Family Law. He is a Fellow of the prestigious American Academy of Matrimonial Lawyers and has also been recognized as a Super Lawyers Rising Star  and named a Best Lawyers: Ones to Watch, in multiple years.

At the largest law firm in Texas exclusively practicing family law, the experienced lawyers at Goranson Bain Ausley have the depth and breadth of knowledge needed to assist business owners and their families to move through the divorce process with the dignity and compassion that honors each party’s commitment to a better future. Contact us today to learn how we might help you navigate divorce as a business owner.

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