A post-marital agreement helps establish long-term financial decisions so that in the event of a divorce or the death of one of the spouses, there is more certainty about what will happen with current or future assets.
Sometimes in a marriage, one of the spouses has a high earning job. The family might make the decision for the other spouse to stay home and take care of the kids. The conversation then becomes how will the family’s lifestyle change with this new dynamic? If something were to happen to the money-making spouse, whether divorce or a death, where will that leave the other spouse who left the workforce? A post-marital agreement helps the family seriously plan for an uncertain future. No matter what comes down the road the parties and the children both are in a good position. A well thought out post-marital agreement keeps the family out of court and out of litigation.
Another benefit of a post-marital agreement is if one of the parties has a significant inheritance and they want to make sure that it stays in the family.
Let’s say it includes a family farm or ranch, but they want to build on the property. How much money are they going to put into it? Do they want to make sure that it is there for generations to come? Is that something that both spouses want? If you might receive a significant amount of money at some point in the future, it is best to have a written plan in place for that event.
With a post-marital agreement that is created in a Collaborative setting you can discuss all aspects, issues and concerns of provisions for a post-marital agreement freely.
You can plan on your long-term goals financially and have contingencies for an uncertain future. A Collaborative post-marital agreement looks at both parties’ values and what your goals are to set up a plan in a way that you are living your life according to those values.
If a post-marital agreement is not handled correctly there can be a power imbalance in the marriage where one spouse feels they were forced by the other spouse to sign. The Collaborative process assures that there is an equal and complete understanding of what effect your this post-marital agreement will have on each of your lives. It is a safe environment where your attorney still has your back, but you are looking for a win-win, instead of a power imbalance. The Collaborative process opens a big door for parties to be able to feel safe and protected when having these difficult types of discussions.