When a couple in Michigan or elsewhere around the country decide to get a divorce, there is always much discussion around finances. Family law experts believe that those financial discussions become even more complicated when the couple is older. In fact, further complexities arise if one or both of the ex-spouses decides to remarry. Advisers recommend several steps to protect one’s financial situation, whether a person is currently married, planning to be married or going through a divorce.
First, it is important to have a clear picture of the couple’s financial situation, including a listing of all assets and liabilities. This is vital information for a couple to share with each other before a marriage. If a couple is already married, they may elect to create a postnuptial agreement to address certain issues.
If a couple has children from a prior marriage, it is imperative to make sure that their inheritance is protected if a parent remarries. Estate plans should be updated to reflect any changes in marital status. Likewise, wills and beneficiary designations must be reviewed and changed after any significant life event, like marriage or divorce.
Many couples marrying for the second or later time often bring assets with them, whether they involve inherited property, business interests or accumulated savings. In these situations, a prenuptial agreement is often suggested. These agreements can be very helpful in minimizing conflict should a divorce occur in the future. Finally, all documentation should be consistent in reflecting a person’s explicit instructions on handling an estate.
Going through a divorce can be an emotional experience. No one should face the complexities of the legal process without guidance. A knowledgeable Michigan family law attorney can help clients understand the process and determine how best to proceed. A trusted lawyer will be a valuable partner in the divorce proceedings.
Source: U.S. News & World Report, “How to Protect Your Retirement Before a Second Marriage“, Rodney Brooks, Feb. 8, 2018