DOLLARS AND SENSE

Common sense answers to questions on personal finance

by Joe Plemon 

Q: I just learned that my husband has been having an affair.  My trust and respect for him have disappeared.  I haven’t decided whether to file for divorce, but my immediate concern is a financial one.  We have a joint savings account with $80,000 in it.  Should I do anything to protect my share of this account? 

A:  Yes.  By breaking his wedding vow to you, your spouse has demonstrated that he can’t be trusted.  Half of the money in the joint account is yours and I don’t think you can trust him to keep his mitts off of this money.  I suggest you open an account in your name only and then transfer half of the savings account money into that account.   At that point, do not touch the money in either account.  If the two of you get your lives back together, then you can get your money back together.  If not, you have protected what belongs to you.  

Q:  Joe, my net worth is about $3 million dollars.  I am happily engaged to be married to a woman of my dreams who grew up in poverty and brings very little resources into the marriage.  Yet a voice in the back of my mind tells me I should consider a prenuptial agreement.   What do you think? 

A:  I generally hate prenuptial agreements because it seems that the couple is setting themselves up for a divorce before ever getting married.   In most cases, if the couple can’t readily combine their resources they shouldn’t get married.  However, because seven figures of net worth sometimes causes weirdness in otherwise normal people, I think you should consider a prenuptial agreement.   Problems with your future wife or with her family may never happen, but devising a clear financial plan you both agree to  should prevent such problems and establish clear boundaries with everyone involved.