Prior to entering into a second marriage, you need to consider critical updates to your estate plan. This is especially important when there are children from a previous relationship or important assets that you want to protect. As part of the modification of your estate plan, you may want to consider incorporating a prenuptial agreement.
5 Ways to Use a Prenuptial Agreement When Modifying an Estate Plan
How can a prenuptial agreement be utilized as part of an estate plan? The following are five examples:
- Outline what happens to the property that was attained during and prior to your marriage.
- Protect one spouse from the debts of the other. A prenuptial agreement can be used to prevent creditors from going after the marital property when only one spouse is the debtor.
- Provide for children from previous relationships. A prenuptial agreement can be used to ensure that these children inherit property from their parent.
- Keep family property within the family in the event of the death of a spouse. This may include important family heirlooms, a family business, or a future inheritance. The prenuptial agreement can be used to ensure that these assets stay within your family.
- Support your overall estate plan. Prenuptial agreements can be used to accomplish several estate planning goals; however, they must be executed in addition to other important estate planning documents. Your will and trust should also be updated to reflect your change in circumstances and wishes.
Are you interested in learning more about modifying your estate plan prior to a second marriage? We encourage you to reach out today for more information at 714-459-5481.