While remarrying can be an exciting and joyous celebration of love, for someone that has accumulated substantial assets, it’s also a time to think logically about protecting those assets.
This is particularly true for those in parts of Illinois, including McHenry. Illinois has very specific laws that will affect how property is handled during divorce proceedings.
We’re going to look at some of the more effective ways to protect assets in an Illinois remarriage, and why you can turn to our team at Diamond Estate Planning Law if you need to safeguard your assets with legal processes.
How to Protect Your Assets In An Illinois Remarriage
Marriage is a significant life change that can have dramatic effects on the financial well-being of the parties involved. Protecting assets is an essential step to making sure that your hard-earned property is not lost if the new marriage ends in divorce.
Here are a few of the most common ways that northern Illinois residents can protect their assets in a divorce.
- Prenuptial Agreement: When two people decide to get married and either one, or often both, has substantial assets, investments, and so on, it’s not uncommon for them to have a prenuptial agreement in place. This agreement is often set up and signed before any promise of marriage or engagement. The prenup will provide a highly detailed account of how various assets would be divided in the event of a divorce. It can prevent dividing the assets in a way you may not agree with, which can provide a significant profession.
- Illinois Prenuptial Requirements: Illinois prenups need to meet certain requirements to be considered valid. It must be in writing, signed by both parties, and include both parties completely disclosing their assets and debts.
- Trusts: Trusts are a great way to protect assets in an Illinois remarriage. Not only is the trust a formal legal arrangement that can hold and protect assets through remarriage. Trusts are a type of legal arrangement where the trustee safeguards the assets for a beneficiary. There are several different types of trusts, depending on the needs of the client, but all will help protect assets.
- Revocable Trusts: Revocable trusts are also known as living trusts, and they can be changed or even revoked (dissolved).
- Irrevocable Trusts: Irrevocable trusts cannot be changed or revoked at all by the original grantor.
- Asset Titling: Specific types of asset titling can also be used to protect assets in the event of divorce following remarriage. There are several types of titling, like tenancy by the entirety, joint tenancy, and tenancy in common.
- Tenancy By The Entirety: This type of asset titling is only available to married couples, and it provides a level of asset protection that makes the asset unavailable to creditors of only one spouse.
- Joint Tenancy: Joint tenancy is titling that is available to any two or more people, including spouses. When one owner dies, the remaining survivors are then responsible for the debt.
- Tenancy In Common: Tenancy in common is a form of asset titling that gives each owner their distinct share in the asset. When one owner dies, they can pass that share onto a designated beneficiary.
Let Diamond Estate Planning Law Protect Your Assets During Remarriage In Illinois
Even though this new change in your life should be something that fills you with joy, it can also be a source of significant anxiety for many people. By working with a leading law firm in asset and estate management, you can be sure that your assets will remain yours – even through the worst potential heat. Reach out to Diamond Estate Planning Law today for more information relating to your Illinois asset protection needs, or to make an appointment for your consultation.