Couples organizing a wedding should take time to plan their financial future, and this is especially important for those individuals preparing for their second or third marriages, according to Scotia Private Client Group.
“While a first marriage is usually more straightforward as couples are just starting out, often a second or third marriage can bring about more complex questions regarding finances, established assets and specifically will and estate planning,” says Paul Fensom, Scotia Private Client group director, estate and trust services.
Each partner in a re-marriage will likely come into the union with different levels of wealth or debt and one or both people may have children from a previous marriage.
“These are important factors to consider, especially in the event of a separation or death,” says Fensom. “Couples beginning a new life together often don’t want to consider these circumstances but having these discussions and planning ahead is the best way to avoid legal issues or family turmoil down the road.”
To ensure both the couple and their children are taken care of properly, Scotia Private Client Group advises couples to discuss the following before saying “I do”:
Discussing a “pre-nup” when planning a wedding can seem unromantic. However, the reality is that these agreements protect both parties by providing the foundation for determining how assets will be divided in the case of a divorce or separation. The same holds true for a cohabitation agreement.