Secure non-marital assets by drafting a prenuptial agreement

Marriage is not only the union of two people; it also means the merging of assets once the couple is married. Many residents of Louisville, Kentucky know that marriage at any age is prone to divorce. When the marriage dissolves, it can also mean a stressful and contentious division of assets.

Marrying at age 50 or older can be complicated because it is likely that, at that age, a person already has a portfolio of assets, children and a known medical condition. Marrying at a later age can have some financial challenges and it is important to consider the impact of late-age marriage on finances.

Soon-to-be spouses should take note of each other's financial habits. Once determined, it is important to recognize and understand each other's saving and spending habits and be prepared to make adjustments if necessary.

The marrying couple should also talk about debt and determine the amount of liability each partner will bring into the marriage. The couple should identify who will pay for the debt, either jointly or individually, and how it will be paid.

The soon-to-be spouses, no matter what age, should also consider drafting a prenuptial agreement to provide financial protection in case their marriage crumbles. The agreement can keep assets made before the marriage separate during property division, protect the interest of heirs in case of divorce or death and specify spousal support obligations.

A prenuptial agreement acts as a binding contract. Once the document is signed it will take effect after divorce, unless it can be proven invalid. Additionally, a post-nuptial agreement can be used to update the provisions of a premarital agreement. A legal professional can provide sound advice to marrying couples in Kentucky before signing a prenuptial agreement.

Source: The Wall Street Journal, "The Financial Baggage People Bring to a Later Marriage," Michelle Perry Higgins, March 17, 2014