For the longest time, people have wanted to protect their assets in case of any unexpected events, such as divorce. You and your spouse will likely be combining each other’s assets after marriage. In the back of your mind, you may be thinking this could be a bad decision if there’s a divorce – but, you shouldn’t have to worry.
You may have two choices when discussing your assets with your spouse. Here’s what you should know:
Before marriage, you may talk with your spouse about creating a prenuptial agreement (prenup). A prenup is a legal document made specifically before marriage that ensures assets are properly divided if there’s a divorce. This could mean that you keep your house, car or valuable collection if you brought those into the marriage.You may also discuss alimony with your spouse. Alimony may decide whether you or your spouse is awarded court-ordered payment. This would allow you to continue living your quality of life after divorce.
Are you already married? Then you can’t make a prenup, but it’s not too late to protect your assets. People who are married may make a postnuptial agreement (postnup). Postnups work nearly the same as a prenup, but they’re only made after marriage.
Because postnups are made after marriage, they’ll replace any prenup already made. This can be good for people who want to redefine what assets are protected.
If you’re planning to protect your assets you may need to create a postnup or prenup. Postnups and prenups are complicated legal documents, so be sure to seek some legal guidance before taking your next steps.