Many people in California who decide to marry have been married at least once before in the past. Statistics indicate that around 40% of all marriages include people who are remarrying. As financial issues can be one of the most common contributors to divorce, people planning on remarriage may wish to learn lessons from their earlier relationships.
Remarriage is especially common among people later in life. Among people aged 55 to 64 who were married in the past, 66% have chosen to remarry. This marks a significant upswing in those numbers, which stood at 50% half a century before.
Because many people remarry later in life, they may have more significant assets to protect. Many people have accumulated retirement funds, investment accounts or even companies before embarking on a new marriage. In addition, they may also have children from a prior relationship. These are all reasons why remarrying couples may wish to consider a prenuptial agreement. As these documents help to avoid later problems and costly conflicts in a divorce, some people may consider prenups unromantic. However, individuals who have already been through the end of a marriage may be more eager to develop a clear financial plan.
A prenup can also work together with an estate plan. For example, property that is being willed to one party’s children can be clearly defined as separate property in the prenuptial agreement. People may also want to take special care to update the beneficiaries on their retirement accounts and life insurance policies to ensure that they reflect their financial plans.
When people marry for the second time, they may want to do everything they can to avoid an expensive divorce. A family law attorney may help a spouse-to-be to negotiate a fair prenup that addresses a range of financial issues.