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Specialty tag(s): Property Division, Divorce

How Will My Assets Be Divided in a Divorce?

Megan Decadi | July 15, 2025

Divorce is a stressful time, with the division of property often being the greatest concern for both parties. It’s only natural to be worried about what you may or may not be left with once the process is over. However, having a firm understanding of the division of assets in a divorce can help alleviate many of your worries. When you know what to expect, you can coordinate with your attorney to help plan for the future you deserve.

What Is the Process for the Division of Assets in a Divorce?

Even though circumstances can vary for each Texas divorce, asset division generally follows the same four major steps:

1. Identify All Marital Assets

Before anything can be divided, each spouse must identify all of their assets and liabilities, whether held in their name, their spouse’s name, or jointly.  Assets at issue in divorce often include real estate, bank accounts, vehicles, and retirement accounts, but can also include life insurance policies, annuities, investment accounts, business interests, stock options, anticipated bonuses, and more.

2. Characterize Property as Community or Separate

In a Texas divorce, asset division is subject to the state’s community property laws, which categorize marital assets as either community property or separate property. The process of determining which assets are community property and which are separate property is referred to as “characterization”, and is an extremely important part of the divorce process. Assets characterized as community property are considered equally owned by each spouse and can be divided during the divorce. Separate property assets, on the other hand, are given special protection under Texas law and cannot be divided. Broadly speaking, gifts received, inheritances received, assets owned before the marriage, and settlement compensation for a personal injury are separate property. Anything that is not separate property is considered community property. Texas law presumes, unless proven otherwise, that all assets owned at the time of divorce are community property. The spouse making a separate property claim has the burden to prove that claim by clear and convincing evidence, which often includes providing detailed documentation and, in some cases, expert testimony. 

3. Value the Community Estate

In a divorce, each asset must be valued so that a court (or the parties, in an agreed resolution) can determine how to fairly and equitably divide the community estate. It is not uncommon for disputes to arise over the value of real estate, business interests, or retirement accounts. When this happens, attorneys may bring in financial experts to appraise assets and provide court testimony as needed.

4. Divide the Community Estate in a Just and Right Manner

Texas courts do not always divide assets 50/50. While an equal split might seem fair, the law directs judges to divide community assets in a way that is “just and right,” based on factors such as each spouse’s financial situation, potential earning capacity, and future needs.  Overall, a fair divorce and division of assets is based on equity rather than equality.

Will the Court Divide Each Asset Equally?

Not necessarily. Courts endeavor to divide property “in kind” whenever possible – meaning, the court will try to divide the estate in a manner that results in each party receiving a just and right share of the overall value of the community estate, rather than a share of each individual asset.  However, sometimes it is necessary to order the division of select assets to achieve a fair division of the community estate.

How Should I Plan for the Division of Assets in a Divorce?

Before beginning the division of property, consider what you want your life to look like after the divorce. Identify your priorities, such as staying in the family home, keeping a business interest, or ensuring financial stability, and communicate them to your attorney. Sharing this information with your attorney will help them to create a legal strategy that helps you achieve your long-term goals.

Contact an Experienced Family Law Attorney Today

At Goranson Bain Ausley, attorneys like Megan Decadi have extensive experience guiding clients through divorce and the division of assets. We understand the emotional and financial stakes, and we’re committed to helping you build a secure future. Contact us today to schedule your consultation.