5 Costly Property Division Mistakes Men Make in a Texas Divorce—And How to Avoid Them
Divorce is tough, and property division in Texas can be one of the most frustrating and confusing parts of the process. If you’re like most men going through a divorce in Texas, you’re worried about what you’ll walk away with, how to protect your finances, and whether the system is fair to you.
Texas is a community property state, but that doesn’t mean everything is automatically split 50/50. In reality, property division is based on what the court considers fair, which may not always seem fair to you.
The last thing you want is to make mistakes that cost you money, your home, or assets you worked hard for. Let’s go over five common property division mistakes men make—and how you can avoid them.
Mistake #1: Assuming Everything Is Split 50/50
It sounds simple—Texas is a community property state, so everything should be divided equally, right? Not exactly.
Texas law says property should be divided in a way that is “just and right” (Texas Family Code § 7.001). That means a judge will look at:
- Who earns more money (if your wife makes less, she might get a bigger share).
- Who has custody of the kids (the custodial parent may get the house).
- Whether there was financial misconduct (spending marital assets irresponsibly).
If you earn significantly more than your wife or she is taking care of the kids, don’t assume everything will be split evenly. You could be ordered to give up more than half of the assets if the judge thinks it’s “fair.”
How to Avoid This Mistake
- Don’t assume you’ll get 50%—fight for what’s fair.
- Gather financial records to prove your contributions.
- Negotiate a property settlement that protects your interests.
Mistake #2: Not Identifying Separate Property Correctly
Not all property is community property. Some assets are considered separate property, meaning they belong only to you.
What is Separate Property? (Texas Family Code § 3.001)
- Anything you owned before marriage (house, investments, savings).
- Gifts or inheritances you received (even during the marriage).
- Money from a personal injury settlement (except lost wages).
The problem? If you don’t have proof that something is separate property, the court will assume it’s community property. That means you could lose assets that should be yours.
How to Avoid This Mistake
- Find proof of ownership (titles, bank records, inheritance documents).
- Keep inherited money in a separate account (mixing it with joint funds could make it community property).
- If your wife is claiming assets that aren’t hers, challenge it.
Mistake #3: Overlooking Hidden Assets
Let’s be real—some spouses try to hide money during a divorce. They might:
- Transfer money to a friend or family member.
- “Forget” to disclose a bank account or investment.
- Delay business profits so they don’t appear as income.
If you’re the higher earner, you may think this doesn’t affect you—but it does. If your wife is hiding money, she could end up getting a bigger share of the assets because the court doesn’t know about everything.
How to Avoid This Mistake
- Request full financial disclosures.
- Hire a forensic accountant if something seems off.
- Use legal discovery tools (subpoenas, depositions) to uncover hidden assets.
If your wife is hiding money, the judge could penalize her and award you a larger share of the marital estate (Texas Family Code § 7.009).
Mistake #4: Ignoring Tax Consequences
It’s easy to focus on who gets what, but what about taxes? Some assets may look good on paper, but they could cost you thousands in taxes later.
Common Tax Mistakes in Property Division
- Keeping the house without realizing the tax burden.
- Not considering capital gains tax on investments.
- Ignoring tax penalties for withdrawing money from retirement accounts.
For example, if you keep the house, you might have to pay property taxes, maintenance, and capital gains tax if you sell it later. Meanwhile, your wife gets a retirement account that grows tax-free.
How to Avoid This Mistake
- Work with a financial expert to understand tax implications.
- Don’t take assets that will cost you more in taxes than they’re worth.
- Negotiate a tax-smart settlement (e.g., trading taxable assets for non-taxable ones).
Mistake #5: Letting Emotions Drive Your Decisions
Divorce is emotional. But letting anger, guilt, or resentment drive your decisions can cost you big.
Common Emotional Mistakes
- Fighting to keep the house when you can’t afford it.
- Giving up assets just to “get it over with.”
- Refusing to negotiate, leading to more legal fees and court battles.
Think long-term. What will benefit you in 5 or 10 years? Keeping the house might feel like a win now, but if you can’t afford the mortgage and upkeep, it’s a bad deal.
How to Avoid This Mistake
- Think about financial stability, not just emotional wins.
- Don’t rush—take the time to negotiate a smart deal.
- Get professional advice before making major decisions.
FAQs on Property Division Mistakes
Does Texas always split property 50/50?
No. Texas follows community property laws, but the court divides assets based on fairness (Texas Family Code § 7.001).
Can I keep my house after the divorce?
Maybe. If you can afford the mortgage and buy out your wife’s share, you may keep it. If not, the court may order it to be sold and the profits split.
What if my wife is hiding money?
You can request financial disclosures, hire a forensic accountant, and use legal discovery tools to uncover hidden assets (Texas Family Code § 7.009).
How do I prove something is my separate property?
You need clear documentation (titles, inheritance records, bank statements) showing the asset was kept separate from marital property.
What happens to debt in a Texas divorce?
Debts incurred during the marriage are typically divided just like assets—based on what is fair. If your wife racked up debt irresponsibly, you may not have to pay for it.
Final Thoughts: Protect Yourself During Property Division
Dividing assets in a divorce isn’t just about what’s fair—it’s about protecting your financial future. Making the wrong moves can cost you thousands of dollars, while smart planning can help you come out in a much stronger position.
Key Takeaways
✅ Don’t assume everything is split 50/50—fight for what’s fair.
✅ Make sure separate property is properly identified.
✅ Watch for hidden assets.
✅ Consider tax consequences before making a deal.
✅ Don’t let emotions cost you money—think long-term.
📞 Need legal help? Call the divorce lawyers at Longworth Law Firm at (832) 759-5100 to get expert guidance on property division and protect your financial future.
The decisions you make now will impact your finances for years—make sure you get it right.