If you are a New York resident in a second or third marriage, revisiting your estate strategy may be beneficial. Unlike most first marriages, subsequent unions may include significant asset accumulation. At Adria S. Hillman, Attorney at Law, P.C., we often help clients protect their assets in the even their union ends.
Divorce is among the most financially devastating situations you can experience. According to Asset Protection Planners, postnuptial agreements are legal options that help you protect your assets if you and your partner decide to split. Prenuptial agreements are legal documents signed by both parties that separate assets before marriage. A postnuptial agreement serves the same purpose but occurs after the wedding.
Couples often decide on these covenants when the household experiences dramatic financial changes. This can occur shortly after the marriage or several years after the vows. They are also common for partners who each bring significant assets to the union. You can identify personal property, retirement savings and business income, separating it from marital assets.
If you and your partner own a business, a postnuptial agreement can help expedite the divorce and drastically reduce court costs. As you have already agreed upon the guidelines regarding appraisal methodologies and valuation, there are fewer decisions you must make. You can include a variety of conditions, including:
- Separating the business from marital property
- Which of you buys the other out
- Identifying that only value added after the marriage is marital property
The structure and conditions are up to you. An experienced attorney can help you determine which assets to address in the agreement. She can also minimize the potential ambiguity. This ensures that all items are clearly stated. Visit our webpage for more information on this topic.