Maybe you were lucky enough to be born to a financially secure family or inherited your wealth — or maybe you scraped hard for every penny you have. Either way, there are a few things that wealthy people do (if they’re smart) when they get married to protect their assets just in case of a divorce.
If you’re financially comfortable and want to stay that way following a divorce, follow these tips:
1. Identify your different streams of income
You need to know where your money comes from, especially if you have income from trusts, inheritances, gifts or other sources that could later be considered separate property. That will help protect your “family money” from being divided up in a divorce.
2. Meet with a financial planner before the marriage
This is a step that shouldn’t be skipped. You need to make some decisions — especially if this isn’t a first marriage — about where your assets are to go if the worst should happen, and you die. You also need to be clear about who you want to make final decisions (including financial ones) for you in the event that you become incapacitated.
3. Discuss spousal support
It’s important to have clear expectations — on both sides of the fence. While nobody likes to think about divorce when they’re just approaching the altar, it’s really the best time to talk about things like spousal support. You’re more apt to be fair to each other while you’re still in love than after the romance falters.
4. Get a prenup in order
Prenuptial agreements aren’t viewed with the same social stigma they once were. These days, it’s just smart business on both ends to have a prenup in place — especially since both partners to the marriage are likely to enter the relationship with their own assets.
If you’re struggling with complex decisions regarding your property and assets prior to marriage or prior to divorce, find out more about your legal options.