WEALTHY CHILDREN WHO MARRY AND PRENUPTIAL AGREEMENTS
Prenuptial agreements are important documents that protect both parties in a marriage should it end in divorce. These documents are especially important when one person entering the marriage does so with significantly more property than the other person. The same can be said for wealthy children who are marrying. Many won’t think twice about a prenuptial agreement in California but their families will want to protect the wealth.
In a lot of cases, wealthy children who are getting married will decline the opportunity to sign a prenuptial agreement because they don’t think it is necessary. But, their parents likely think differently. They will want to protect the family wealth as much as possible and that would be encouraging their adult children to sign a prenuptial agreement.
If this is the case, the child will need to make full disclosure of all the wealth of the family. For some, the adult children could be learning for the first time the true wealth of the family. This can be handled easily when parents discuss prenuptial agreements early on in their children’s lives, beginning in their 20s.
There’s never a guarantee that the adult children will buy into the idea of a prenuptial agreement to protect the family wealth. If this happens, parents can still ensure that the family wealth stays in the bloodlines and doesn’t get into the hands of an ex-spouse by creating a trust in their child’s name.
Signing a prenuptial agreement is just as important for children of wealth as it is for other couples getting married. Protecting wealth is an important part of getting married in California.
Source: Forbes, “The Importance Of Prenuptial Agreements For Children Of Wealth,” May 03, 2018