Retirement accounts often become a primary asset when individuals aged 50 and older in Texas choose to end a marriage, even more so than the marital home and other commonly sought-after assets. For older individuals planning to untie the knot in 2019 or beyond, the Tax Cuts and Jobs Act will change how certain assets are handled. The most noticeable change is with alimony payments, which will no longer be deductible for the payer and claimable as income for the recipient.
Facts about prenuptial agreements
When couples in Texas sign a prenuptial agreement, they must each have had their own attorney, the agreement must be fair and both people must have disclosed their assets. Fairness can be a somewhat subjective measure. As an example, if there is a big wealth disparity between two people, it might be unfair if they are married for a long time and the person with less money gets nothing in a divorce. A prenup could be thrown out if it does not meet these requirements.
Divorce and dividing retirement assets
One issue that divorcing couples often have to contend with is the division of retirement assets, including 401(k) accounts. It is important that they understand the correct process for dividing such retirement assets. By not taking the proper steps, an ex-spouse could have to pay hefty expenses and tax assessments.
Defending your parenting rights after divorce
Parents who share custody of a child face a difficult balancing act when it comes to spending time with the child and sharing parental obligations and privileges. Successful co-parenting requires even-handed compromise and both parents' focus on the best interests of their child. It also leaves it up to parents to defend their own rights if the other parent violates them.
Protecting your retirement plan after divorce
With gray divorces continuing to rise, older couples in Texas might be concerned with protecting their retirement plans. While a split is stressful on couples of all ages, older couples face having to make very difficult decisions that can impact their financial situation during retirement, when the risk of having to live on half the income with the same amount of expenses is a real possibility.
