It is an unfortunate statistic that approximately 50% of all marriages end in divorce. In Louisiana, a community property state, divorce courts typically split everything spouses own together (income earned, debts incurred, property acquired) 50-50, regardless of who earned or acquired them. If you want to protect your assets as they pass from generation to generation, you should consider prenuptial planning.

In Louisiana, there are two primary tools for protecting wealth prior to and during a marriage. The first is a Full Separate Property Agreement, which is a legal and binding agreement stating that whatever property or assets are in each spouse’s name are the separate property of that spouse. This agreement helps avoid litigation related to the commingling of separate and community property; it also ensures that all inheritance stays within the family. The second prenuptial planning tool is a Declaration of Reservation of Separate Funds. With this agreement, each spouse can declare that the “fruits” generated by their separate property (ex: rent, royalties, interest, dividends, etc.) will remain separate property.

It is important to consult with a knowledgeable and experienced attorney prior to your marriage, in order to review your planning options and have your desired protections in place before walking down the aisle. Wealth Planning Law Group can help safeguard your assets and property from divorces, lawsuits, and creditors by negotiating and drafting prenuptial planning agreements. If you are interested in our firm’s domestic (pre-nuptial) services, please contact us at (504) 608-3174 or info@lawealthplan.com.