Given these numbers, invest some time and serious thought to the business aspects of marriage, says Forbes in the article, “6 Second Marriage Planning Tips For You And Your Significant Other Before Walking Down The Aisle.” Start with practicing good communication, a trait that is needed to help any marriage succeed. Have a series of conversations well before setting a date to say, “I do.”
Let’s look at some tips for making sure your next marriage gets off on the right financial foot:
Be open. This means frank talk about your plans and obligations to any children and former spouses. Talk about your credit history, assets, debts and any financial support you must provide.
Look at your property. Review the assets that each of you will bring into the marriage and how they ultimately will be used or bequeathed.
Update your accounts. Be sure that all your records are up to date when you remarry.
Sign a prenup. This is not just to protect the assets of the wealthier spouse. It can be important if you both already have established careers, children or significant assets. A prenup lets you decide together and in advance, which assets you will share and those to keep separate, in case you divorce.
Work with an experienced estate planning attorney. He or she will help you retitle your investments, update your accounts and modify any beneficiaries on retirement, life insurance and annuity accounts. Since the probate laws are not typically designed for blended families, also be sure you create an estate plan, especially if you or your new spouse have children and grandchildren from previous marriages.
Without an estate plan, most probate laws stipulate that your assets will pass to your current spouse and then to his or her children, if you die first. This may not comply with your will that your children receive a portion of your inheritance.
There are numerous ways that your estate planning attorney can ensure that your new spouse will be taken care of and that your assets will be passed onto your biological children, when the second spouse dies, in order to preserve assets for your biological children. You may both need trusts, or a marital trust to hold the assets for your lifetime with the remainder at death to pass to your children.
Chances are you and your intended will spend a lot of time and energy blending your families but it will all unravel if there are disagreements between each family on the distribution of your estate. Don’t put it at risk by failing to put a good estate plan in place. Contact our firm today to set up an estate planning meeting.
Reference: Forbes (June 20, 2019) “6 Second Marriage Planning Tips For You And Your Significant Other Before Walking Down The Aisle”