Can My Business and Paycheck Survive Divorce and Child Support in Texas?
- Garcia-Windsor, P.C.
- Sep 17
- 4 min read
September 18, 2025
Divorce is never easy, but for business owners in Texas, the process can feel like an earthquake shaking both their personal and professional lives. Imagine this: after years of hard work, you’ve built a thriving company, your employees rely on you, and your reputation in the community is strong. Suddenly, divorce enters the picture, and questions start piling up. Will my business be divided in the property settlement? Could my wages—or even business revenue—be garnished for child support? What does Texas law actually say about protecting business assets during divorce? These worries are not just theoretical. For countless entrepreneurs, executives, and self-employed professionals across Dallas and beyond, divorce directly impacts both their home and workplace. Understanding how the Texas Family Code handles property division and child support enforcement is critical to surviving this life transition without losing everything you’ve built.
At GarciaWindsor, we’ve seen how quickly financial uncertainty can paralyze business owners facing divorce. The fear of wage garnishment or the forced sale of business assets is real, but with the right legal strategy, you can protect both your livelihood and your family obligations. Let’s break down how divorce, business ownership, and child support enforcement collide under Texas law.
Business Ownership and Property Division in a Texas Divorce
Texas is a community property state, which means that in most cases, assets acquired during marriage are subject to division upon divorce. This includes businesses started or grown during the marriage. Even if only one spouse worked in the company, the other may still have a claim to its value. According to Texas Family Code § 7.001, courts must divide the community estate in a manner that is “just and right,” considering the rights of both parties.
For business owners, this creates several challenges:
Valuation: The business must often be professionally valued, factoring in cash flow, goodwill, intellectual property, and even future earning potential.
Division: A judge may award the business to one spouse while offsetting the other spouse’s share with different community assets, such as real estate or retirement accounts.
Continuity: Courts typically avoid ordering a company to be split down the middle, but the financial impact of compensating the other spouse can still strain the company’s resources.
This is why having experienced divorce attorneys who understand both family law and business law is crucial. The wrong strategy could result in losing control of your company or facing an unsustainable financial burden.
Child Support and Wage Garnishment
Even after property division is settled, the next pressing issue for business owners is child support. Texas law prioritizes the best interests of the child, and support payments are strictly enforced.
Under Texas Family Code § 154.062, child support is calculated based on the net resources of the obligor (the parent paying support). For business owners, “net resources” include not only wages but also income from self-employment, dividends, rental income, and other business-related earnings. This means that even if your income fluctuates, the court may take an average to ensure consistency in payments.
When payments are missed, Texas law allows for wage garnishment. According to Texas Family Code § 158.001, courts can order that child support be withheld directly from the obligor’s paycheck. While this seems straightforward for traditional employees, it becomes more complex for business owners who pay themselves irregularly or take distributions instead of wages. In those cases, courts can still enforce payment through alternative collection methods, such as liens on property or even seizing bank accounts.
The key takeaway? Business owners cannot “hide” income in their companies to avoid child support obligations. Courts have broad authority to look beyond the paycheck and examine the true financial picture.
Workplace and Reputational Consequences
Divorce isn’t just about numbers—it can spill into the workplace in ways that surprise many entrepreneurs. A contentious divorce might distract you from daily operations, reduce your focus, or even trigger disputes among business partners. In extreme cases, public garnishment orders or property liens can damage professional credibility.
Employees and clients often notice when a business owner is under stress, which makes it all the more important to resolve these issues efficiently and strategically. At GarciaWindsor, we emphasize protecting not only the legal and financial aspects of your case but also the stability of your business reputation.
Strategies for Protecting Business Owners
While the risks are real, there are proven strategies for navigating divorce as a business owner:
Accurate Valuation: Hire a trusted financial expert who can provide a clear, defensible valuation of your company.
Negotiation vs. Litigation: Settlement agreements can often preserve business assets more effectively than trial. Negotiating a fair trade of property can prevent forced liquidation.
Structuring Child Support Payments: Ensure that child support is calculated realistically based on your actual income, not assumptions. Courts may accept detailed financial documentation showing the ups and downs of business revenue.
Legal Representation: Work with attorneys who understand the intersection of family law and business law. This dual expertise is what ensures that your livelihood and your children’s needs are both protected.
Protect What You’ve Built While Meeting Your Obligations
Divorce for business owners in Texas is complex, blending personal obligations with professional realities. The risk of wage garnishment for child support, the challenge of valuing and dividing business assets, and the workplace fallout all make these cases uniquely demanding. But you don’t have to face it alone.
At GarciaWindsor, our family law team specializes in guiding business owners through divorce with strategies that safeguard both their companies and their families. If you are a Dallas entrepreneur, executive, or professional facing divorce, don’t leave your future to chance. Contact GarciaWindsor today to protect your business, meet your obligations, and move forward with confidence.
