For couples who are planning a second marriage, it can be helpful to sign a prenuptial agreement. While a prenuptial agreement is sometimes viewed as a document that plans for divorce before the marriage has started, they have several benefits such as addressing assets, property and estate planning.
In second marriages, the parties may have more assets and therefore, want to complete a prenuptial agreement to protect them. These could include real estate, savings, retirement accounts and other property.
Also, if couples have children from previous relationships who are still dependent on their parents, the couple may want to provide for the children in their estate plan. This may apply when the children are adults as well.
What a prenuptial agreement can do
A prenuptial agreement can protect assets and the interests of the children by specifying how the property is to be classified and handled during the marriage. If the couple divorces or one passes away, the prenuptial agreement can specify what happens to that property.
Sometimes, when couples enter a second marriage their home is deeded only in one spouse’s name. They may want to keep the home classified this way to avoid losing the home in a divorce. However, if the spouses decide they want to share the home, they can re-deed the property in both of their names. Then, if one spouse dies, the other spouse can remain the owner of the property.
The prenuptial agreement and any accompanying estate planning is specific to the spouses’ circumstances. It’s important that the agreement is completed correctly. An experienced attorney can help couples with their prenuptial agreement to ensure it is enforceable.