Teuschler Family Law P.C.Teuschler Family Law P.C.2026-09-28T17:12:24Zhttps://www.ktfamilylaw.com/feed/atom/WordPress/wp-content/uploads/sites/1204247/2022/07/cropped-Katharine-favicon-32x32.jpgOn Behalf of Teuschler Family Law P.C.<![CDATA[What happens to bonuses earned around the time of separation?]]>https://www.ktfamilylaw.com/?p=2109482026-09-28T17:12:24Z2026-09-28T17:12:24ZFor certain professionals – including those in upper management or sales – annual bonuses and performance awards can represent a significant part of their yearly income.
When a couple separates with the intent to divorce near the end of a bonus period, that issue alone can become a source of disputes. Does the bonus belong to the spouse who earned it, or is it included in the marital estate and subject to California’s community property rules?
When was the bonus actually earned?
Forget about the day that the bonus check rolled in or got deposited. Instead, it is necessary to determine when it was actually earned. Even a bonus received months after a couple separates could still be considered community property (in whole or in part) if it was earned through prior work.Suppose, for example, a couple separates in January, and one spouse receives a large annual bonus in February based on work performed through December of the previous year. The fact that the money arrived after the couple separated does not necessarily make the bonus separate property. In fact, it is likely part of the marital estate.In comparison, imagine that the couple separates in November, and one spouse is in sales. They earn a significant bonus solely on their sales figures from December. That money may belong solely to the spouse who earned it, as their separate property.The situation gets even more complicated when a bonus is tied to work both before and after separation. Employment records, bonus payment schedules and more can all become important pieces of evidence.These issues can matter greatly in a high-asset divorce. It can take a skilled divorce attorney to properly classify community property versus separate property and advocate for your interests. ]]>On Behalf of Teuschler Family Law P.C.<![CDATA[2 issues with financial changes right before divorce]]>https://www.ktfamilylaw.com/?p=2109452026-09-17T16:48:08Z2026-09-17T16:48:08ZIf you are moving toward a divorce, one step that you need to take is to gather financial information. It helps to have your records during property division, and you are also required to make financial disclosures to the court. You may need to gather bank statements, credit card statements and documentation from investment portfolios, stock ownership and much more.
At this time, you may notice that there have been some financial changes. It is crucial to consider how your spouse’s financial habits may have shifted and what this could mean for the divorce process.
An attempt to hide assets
For example, many people will attempt to hide assets prior to a divorce. They are not planning to disclose them to the court because they do not want to divide them with their former spouse.If you see that your spouse recently gave away a large amount of money, for example, it is a major red flag that they are trying to hide that money from both you and the court. They may simply transfer it to a family member, neglect to report it and then get it back from that family member after the divorce has concluded. In reality, you may have a claim to a significant portion of that money.
Changes to spending habits
You also want to keep an eye on changes to their spending habits, especially if they start spending much more. They could be trying to dissipate marital assets.Rather than hiding the assets, their goal is just to spend them -- usually with the idea of depriving their spouse of any benefit. If their spending goes beyond what is normal and necessary for their lifestyle, it could be that they are just trying to waste assets so they do not have to split them with you.In both of these areas, there are steps you can take to ensure that property division goes smoothly and you get what you truly deserve. It can help to work with an experienced attorney at this time.]]>On Behalf of Teuschler Family Law P.C.<![CDATA[What to know if you’re sharing a nanny with your co-parent]]>https://www.ktfamilylaw.com/?p=2109442026-08-30T00:30:35Z2026-08-30T00:30:35ZSome important things to establish upfront
Let’s say that your caregiver is a non-relative nanny or babysitter who is amenable to caring for your child across both homes. That’s an important first step. Now, it’s smart to work out some rules and agreements upfront to help avoid unpleasant conflicts later. For example:
Keep your caregiver in the loop on your parenting time schedule and how it affects them so they’ll know when and where they’ll be working from week to week.
Although your rules for the kids should be consistent across homes, be sure your caregiver knows of any differences so they can follow the rules of the parent whose home they’re in.
Incorporate your caregiver’s pay and expense reimbursements into your child support agreement, and work out the details of how much, when and by whom they’ll be paid so they don’t have to go back and forth between the two of you to get the money they’re owed.
Talk with your caregiver about what they can and cannot discuss with your child regarding the divorce and their parents. They should feel comfortable sharing with you anything your child says or asks that you should know about.
It should be understood by everyone involved that your caregiver isn’t to speak negatively about either of you to your children. They should also not be expected to relay messages between you and your co-parent.
Whether you’re able to keep your child’s nanny or other caregiver or you each hire your own, it’s smart to work your expectations into your custody and support agreements and parenting plans. You may also want to do this if your child has any private coaches or tutors who come to your home. This is just one area of concern wherein having sound legal guidance can make an important difference to parents who are going their separate ways.]]>On Behalf of Teuschler Family Law P.C.<![CDATA[Is your prenuptial agreement unconscionable?]]>https://www.ktfamilylaw.com/?p=2109432026-08-16T15:33:46Z2026-08-16T15:33:46Zmay be ruled unenforceable.
Elements of unconscionability
“Elements of unconscionability” include terms that give one party more considerably more rights and benefits than the other. They also include things like the following:
The use of pressure, coercion or threat on a party to sign
When it comes to a prenup, that pressure can even include being presented with a prenup to sign a week before the wedding when invitations have been sent and deposits on venues and services have become nonrefundable.
You don’t have to be trapped in an unconscionable or otherwise invalid prenup. It’s important to get experienced legal guidance to review the document and determine what terms can be challenged. This can help you protect your rights and your future.]]>On Behalf of Teuschler Family Law P.C.<![CDATA[Why should you use caution when addressing debt during divorce?]]>https://www.ktfamilylaw.com/?p=2109412026-08-05T00:46:28Z2026-08-05T00:46:28Zaddressing debts is suitable for your unique needs and priorities accordingly.
What are the options for marital debts?
One option is to use marital assets to pay off debt. This gives both parties a fresh financial start post-divorce, but some people may not want to deal with having to liquidate assets.
Another option is divide the debts between both parties. It’s important to understand that if you don’t formally transfer each debt to one person’s name only, creditors can hold you and your ex equally accountable if a particular debt isn’t paid.
If debts need to be divided, it might be possible to have each debt transferred to individual accounts. This may be difficult to make this happen because creditors don’t have to approve transferring a debt to only one party, but it is often an option that is worth a try.
Each decision you make during the property division process can significantly affect your future. Working with a legal professional who can help you determine how each option will impact you may be beneficial given all that is at stake.]]>On Behalf of Teuschler Family Law P.C.<![CDATA[Protecting the family business during divorce]]>https://www.ktfamilylaw.com/?p=2109362026-07-22T19:10:23Z2026-07-22T19:10:23ZPlanning can help preserve business stability
A family business may be considered marital property, separate property or a combination of the two, depending on when it was established, how it was managed and whether marital assets contributed to its growth. Determining the value of the business is often one of the first steps in resolving property issues. As we discussed in a recent post, a professional business valuation can help to provide a clearer picture of the company's worth and create a foundation for productive negotiations.
Many business owners may also look for ways to limit disruption to daily operations while the divorce moves forward. Maintaining accurate financial records, separating business and personal expenses and continuing normal operations can help preserve the company's stability. In some situations, however, spouses may agree on a buyout, continued joint ownership or another arrangement that allows the business to remain successful without unnecessary conflict.
Planning before problems arise can also help to make a significant difference. Buy-sell agreements, shareholder agreements and prenuptial or postnuptial agreements may include provisions that address what happens if an owner divorces. While these documents cannot eliminate every dispute, they can provide valuable guidance and reduce uncertainty if marital property questions arise.
Dividing high-value assets often requires balancing financial interests with long-term business goals. Every situation is unique, and the best approach depends on the structure of the business and the family's specific priorities. Learning about available options early can help business owners make informed decisions while protecting both their personal and professional futures. If you own a family business and are facing divorce, seeking legal guidance early can help you understand your rights and explore solutions that support both your financial interests and the continued success of your business.
]]>On Behalf of Teuschler Family Law P.C.<![CDATA[Can a prenup affect your child custody rights?]]>https://www.ktfamilylaw.com/?p=2109352026-07-22T15:50:02Z2026-07-22T15:50:02ZNo, a prenuptial agreement generally cannot address child custody issues. For instance, even if you signed a prenup waiving your future child custody rights, you may still be able to secure custody during a divorce. Even if your spouse agreed to a prenup giving up those rights, that does not mean they will solely go to you.
Instead, the court is likely going to ignore any provisions in a prenuptial agreement and make a custody decision at the time that you get divorced. The court operates under the standard of setting up a custody plan that focuses on the child's best interests. Regardless of what a prenuptial agreement states, if the court believes both parents should be involved with the children and retain legal or physical custody rights, they can still set up that arrangement.
This also applies to child support
Moreover, you cannot waive or guarantee child support in a prenup.For instance, perhaps your spouse had you sign a prenup saying that they would not have to pay any child support, even though they are the main breadwinner for the family and have a much higher income than you do. Regardless of what was agreed to at that time, the court can still issue a child support order.Once again, the court is focusing on what is best for the child. Generally, the child deserves support from both parents, and this can contribute substantially to the quality of life that child experiences. A prenup eliminating child support obligations could be seen as harming the child and would not be upheld.This does not mean that prenuptial agreements are not useful. They certainly are, but it is very important for couples to understand exactly how they can and cannot use them prior to getting married. If there are any questions, it can help to work with an experienced family law attorney.
]]>On Behalf of Teuschler Family Law P.C.<![CDATA[How business appraisals affect divorce outcomes in California]]>https://www.ktfamilylaw.com/?p=2109312026-07-21T20:33:26Z2026-07-21T22:35:02ZHow business valuation affects property division
California uses community property rules for many divorces. Courts often divide marital assets equally, although some property may receive different treatment. If you or your spouse started or increased the value of a business during the marriage, the company may become part of the property division process.
A business valued too low may cause the non-owner spouse to receive less than their fair share of marital property. A value set too high can create financial pressure for the owner spouse. The company’s appraised value determines the buyout amount or asset offsets required during the divorce. For example, a business valued at $500,000 instead of $750,000 could change the amount of property available for division.
If the value is too high, the owner spouse may need to borrow money, use retirement funds or sell other assets to complete a buyout. Keep in mind that future earnings earned after separation generally cannot be divided as community property.
What can cause a business to be undervalued?
A business may receive a lower value because of missing financial records, different review methods or inaccurate information. Some owners may try to lower reported income before the review date. They may delay invoices or increase expenses to make the business appear less profitable.
Owners may also include personal costs as business expenses or report unusually high compensation. These actions can reduce the company’s reported earnings and lower its estimated value.
The method used to review the business also matters. An asset-based method may produce a lower result than an income-based method for a profitable service company. A review that considers only physical assets may overlook important sources of worth, including goodwill, client relationships and intellectual property. A complete review should consider industry standards, comparable sales and other factors that show the company’s true financial position.
How inflated values create problems
A valuation that is too high can create serious challenges for the business owner. An inflated amount may require the owner to take on debt or give up other assets to complete the property division process.
Overvaluation can happen when a report uses unrealistic growth expectations or ignores market conditions. Errors can also occur when the reviewer uses incorrect rates, overlooks business risks or fails to consider important discounts. Some reports may contain errors, such as counting assets twice or leaving out debts. These mistakes can create a value that does not reflect the company’s actual condition.
Steps to support a fair business appraisal
Consider getting an independent business review instead of relying only on your spouse’s expert. A professional can examine the methods used, review assumptions and provide another view of the company’s value.
Look for an expert who understands your industry and has experience with California divorce matters. You should also collect important financial records, including tax returns, profit and loss statements, balance sheets and bank records from recent years. These documents can help identify problems and show whether the reported valuation matches the company’s actual performance.
Preparing for a fair business review during divorce
A careful approach can help you understand whether a business appraisal reflects the company’s true worth. Review financial records, compare the methods used and organize documents that support the company’s performance. Staying involved can help you understand your options and make better financial decisions as you separate from your spouse.]]>On Behalf of Teuschler Family Law P.C.<![CDATA[Is an inheritance subject to property division?]]>https://www.ktfamilylaw.com/?p=2109302026-06-30T08:32:25Z2026-06-30T08:32:25ZFor some wealthy couples, a substantial portion of that wealth comes from a family inheritance. Wealth is being passed down through the generations, and a person's parents or grandparents may have left them a significant inheritance in their estate plan.
Often, when a person receives this inheritance, the law classifies it as a separate asset. This is certainly true if they receive it before they get married and then bring that wealth into the marriage. But it can also be true even after they have gotten married if their parents gift the money directly to them.So what does this mean for property division during a divorce? Will the inheritance have to be divided with that person's former spouse, or can they keep the entire amount themselves?
Commingling the inheritance
Often, it just depends on how the inheritance was handled by the couple after it was received.When a person keeps their inheritance separate, such as by storing it in a personal bank account, it often retains its status as a separate asset. It does not have to go through property division, and they simply take it with them as the marriage ends.But if they commingle that inheritance, mixing it together with other family funds or giving their spouse access to the money and allowing them to use it, this can turn it into a marital asset. Both people had an expectation that they could benefit from it and owned it jointly. That means it usually does have to go through property division.Often, during a divorce, couples find themselves in a dispute over whether an asset counts as a marital asset or a separate asset. It can be complicated to resolve these disputes and address property division, and it is important for them to know what legal steps to take.]]>On Behalf of Teuschler Family Law P.C.<![CDATA[Don’t overlook your country club membership when divorcing]]>https://www.ktfamilylaw.com/?p=2109292026-06-17T18:01:07Z2026-06-17T18:01:07ZWhen people think about dividing assets during a divorce, they often focus on their family home, retirement accounts, investment portfolios and bank balances. To that end, some valuable assets may receive far less attention than they deserve. Take, for example, a country club membership. Depending on a divorcing couple’s circumstances, a country club membership may represent financial value and practical significance that should not be overlooked during divorce proceedings.Many country clubs require substantial initiation fees, ongoing dues and assessments. In some cases, memberships can be sold, transferred or refunded under certain conditions. Even when a membership does not have a readily identifiable resale value, it may still represent a marital asset that was acquired or maintained using marital funds. If you and your spouse are going your separate ways, it is important not to treat your family’s country club membership as an afterthought during your divorce negotiations or litigation.
Potential paths to resolution
The treatment of a country club membership – in either a cooperative or a contentious divorce scenario – often depends on the club's governing documents and the nature of the membership itself. Some memberships are owned directly by a member and may carry transfer rights. Others are more limited and terminate when a member leaves the club. Understanding exactly what rights are associated with your family’s particular membership is an important first step.Divorcing spouses should also consider how membership-related expenses will be handled moving forward. Annual dues, assessments, dining minimums and other costs can become significant financial obligations. Determining whether one spouse will retain the membership and assume future expenses is often part of a broader property settlement discussion.In high-asset divorces, it is common for smaller assets to receive less scrutiny because larger financial issues dominate negotiations. However, overlooking a country club membership can create disputes later if its value, transferability or ongoing costs are not properly addressed during the divorce process. Therefore, devoting some effort to clarifying this particular asset may be wise. ]]>