When couples in Tennessee get engaged, they do so with the intention of being married for life. Unfortunately, things don’t always work out, and a marriage may end in divorce. This is always a difficult time, but the process of unraveling marital finances can be even more complex when one or both spouses come from a wealthy family.
At the time of a divorce, both partners and their attorneys will have to consider a number of factors when determining things like division of assets and support payments. If one partner has significant assets, he or she may be expected to pay ongoing spousal support or, in some cases, may not be able to receive a favorable divorce settlement.
One way to address these issues is to sign a prenuptial agreement. A prenup may help a couple clarify their financial situations and discuss how they plan to manage and use their assets during the marriage. Depending on the nature of the agreement, even a spouse with significant wealth might be protected against having to give up assets or being required to pay spousal support for an extended period of time.
In some cases, experts recommend that wealthy parents make a point of discussing prenuptial agreements with their children. These discussions should take place when the kids reach a marriageable age, such as in their early or mid-20s. Parents can explain that a prenuptial agreement is an important part of financial planning. A family may also choose to distribute its wealth in the form of trusts to protect assets in case of a divorce.
Individuals who are considering getting married, or who are already pondering divorce, may benefit from consulting with an experienced family law attorney. The attorney may be able to review the client’s situation and make recommendations regarding prenuptial agreements, postnuptial agreements or asset division issues.