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inheritance

Mar 05

Prenuptial and Postnuptial Agreements – Why You Should Have One

By: Valerie E. Anias, Esq.

There is a misconceived notion that asking for or discussing a prenuptial or postnuptial agreement implies distrust or concern over your relationship and its future.  This isn’t true!  There are a significant number of benefits gained as a result of a prenuptial agreement, or postnuptial agreement if you’re already married.

There are two ways to dissolve a marriage: divorce and death.  Prenuptial or postnuptial agreements help in making the dissolution as easy as possible. 

The reality is this: marriage is both a romantic and business relationship.  With very few exceptions nearly everything is or becomes marital.  As such, nearly everything can become subject of costly litigation in the event of divorce or death.  A well drafted and all-inclusive agreement will limit many of these issues.  For example, the agreement will identify what is and is not marital property, each parties’ rights in the event of death or divorce, predetermine rights and obligations for spousal support, inheritance, and more.  In addition, the agreement will have a complete financial disclosure including each spouses’ assets, liabilities, and income.

A properly drafted agreement will provide a full financial disclosure to both prospective or current spouses.  It will list all assets, income, real property, personal property, etc.  For example, what if you have your great-grandmother’s engagement ring?  You’d want to be sure that said ring would remain with you, your children, and/or your family.  If you were to pass, the value of that ring may ultimately be considered part of your estate and have to be divided.  That could mean sold. 

When contemplating whether you think a prenuptial or postnuptial agreement is needed for you, you should consider whether you want to be on the hook for your partner’s debt in the event of divorce or marriage?  Whether you want your spouse from a second marriage to inherit more than your children from their first marriage?  Whether you want your private business to be impacted in the event of divorce or death?  

Obtaining a prenuptial or postnuptial agreement is simply a combination of planning and protection.  Planning for the future of your spouse, children, and yourself while simultaneously protecting your spouse, children, and yourself.

Sep 18

#TuesdayTips: Everyone Needs a Plan

Estate Planning Attorney Annapolis MDDo you live paycheck to paycheck and are convinced you have no assets? It would seem to follow then that you have no estate to leave behind when you pass on. But, frankly, nothing could be farther from the truth. To the contrary – everyone needs a plan. Let’s consider just three of the many good reasons for preparing an estate plan no matter your net worth or age.

  • Estate plans are actually a set of documents that informs your loved ones how to address your affairs in the event you become incapacitated or depart this world. People who do not plan their estates often leave living family members with a legal mess to deal with during the grieving process. Ultimately, estate planning is not meant as an aid for you but for your loved ones.
  • Should you fail to plan the IRS and state probate courts will be happy to step in and prepare a plan post-death. Probate is the outcome of failing to plan. For example, failing to provide a will or creating a will but not including a trust. The process is generally very slow, all transactions become part of the public record, and it can become costly thereby reducing the size of your initial estate. It is the sad reality that failing to plan can actually be pricier than advanced preparations.
  • It’s not all about the money. If you haven’t given any thought to what you want your end of life to be – now is a good time to do so. You need to consider all the eventualities. For example, you should grant authority to someone to act as your agent regarding health care decisions should you be unable to speak for yourself. Additionally, identify a conservator and guardian for young children. These are determinations you want to have control over – and not something that would require the intervention of third parties who should not be involved in family matters such as these.

Estate planning may seem like a chore that you can put off until you have the time to think about it. But, the best advice is to take the time today to plan for the tomorrows when you won’t be here. It is the nicest gift you will leave your loved ones who will be able to cherish the memories instead of dreading the task of closing out your estate.

If you would like to know more about estate planning and other legal issues related to your family’s and your own personal well-being contact us at the ERA Law Group, Annapolis. We’re your experts in estate planning. We will treat your matters as if they are our own.

Oct 10

#TuesdayTips: DIY Estate Documents Gone Wrong

Did you create your own documents?

Why pay a lawyer when I can get my estate documents online for free (or at least at a lesser cost than a lawyer)?  Every estate planning attorney has fielded that question at some point or another.  My response is usually: “I love online documents…because it usually means I’ll have more work that makes more money in the future.”  After I say that, I typically get a grin across the client’s face and then they ask “why”?Read More

Oct 03

#TuesdayTips: Financial Powers of Attorney – To Be or Not to Be?

That is a valid question.  One that is not pondered enough and often results in a family member being thrown into a position of great responsibility without any direction or idea how they are to act or what they are to do.  In fact, most people sign power of attorney documents naming someone, but then never tell them or have a conversation with that person about what will be expected of them.Read More

Sep 26

#TuesdayTips: The “Simple” Will

All too often will-seeking clients call the firm asking if we do “simple” wills, say they need a will, but don’t want one of those “long wills”, or claim to not have anything, so they just need a “basic” will.   Most law firms will respond to the client, “Yes! We can do that!”  But there are pitfalls that can arise, some foreseen and some unforeseen, when a person only has a “simple” will, and the client does not even know these potential pitfalls exist.  Read More

Sep 22

#FamilyFriday: Marital v. Non-Marital Property

When couples get divorced they are required to identify marital property and non-marital property.  Many individuals don’t know what makes property marital and therefore, how they may unintentionally make a non-marital asset marital.  This week’s #FamilyFriday article defines marital and non-marital property and offers a few tips to protect your non-marital property.Read More