Taxation & Estate Planning

Frank Financial Candor a Key Ingredient to Successful Second Marriages

By Deirdre Wheatley-Liss

I was recently interviewed about the question of what conversations should couples entering into second marriages have?  In a second marriage, not only are you bringing more experience to the table, but also a potentially more complicated financial picture.  You could have financial obligations to a former spouse or your children.  Due to a prior divorce you may be more sensitive about protecting your assets in the event the marriage doesn't work out. You could have a strong financial picture and your new spouse could have debts.

In Financial Candor Makes Second Marriages Sweeter writer Judy Dahl combines my interview with other experts to produce a guide to the having an open financial conversation with you spouse to be.  While not the stuff of romance, considering these points can help develop a strong foundation for the new partnership.

• What assets does each spouse have?  Who would be entitled to those assets in the event of divorce or death of a spouse?
• What income does each spouse have or will have in the future?  How will each spouse's income contribute to household finances?
• What debts does each spouse have? Who is going to pay them?
• What does your day to day spending look like?  What are your long term financial goals?
• Is a prenuptial agreement for you?

Full post as published by New Jersey Estate & Elder Planning Blog on December 02, 2010 (boomark / email).