Congrats on your engagement! Next steps? Prenup! But where to start? Don’t worry, we’ve got you covered. With 9 simple steps, you can get a prenup in Ontario done just in time for wedding cake tastings. And don’t worry, it’s not as daunting as it may seem. Prenups are important tools to facilitate financial conversations between future spouses and to protect individuals’ financial interests. Keep reading to get started on your prenup journey!
Step 1: Talk to your partner about getting a prenup
You can’t get a prenup without your partner also being on board with the agreement. A prenup is a two-way street, with two people’s interests at stake. If your partner is against getting a prenup, you may want to have several conversations about the topic and come from a place of compassion. Explain to them your intentions to offer clarity on why you want it, and give them time to do their own research. At the end of the day, if you can’t agree, you may want to seek couples therapy.
Step 2: Consider your own goals and discuss shared goals with your partner
Once your partner is on board with the prenup, it’s time to discuss goals–both financial and lifestyle. What do you want to achieve with the prenup? What about spousal support? Property division? What are your long-term financial goals? How do you see your life playing out? Are kids involved? These questions are all pertinent to the questions you’ll need to answer in the prenup process, so it’s important that you and your partner are on the same page with what you want.
Step 3: Find a lawyer or choose an online service
The next step is to decide how you’re going to get the prenup. Will you go the traditional route and hire a lawyer, or will you use a more modern online service? Both are great options and offer great benefits. With an online option, you’re able to have control, convenience, and lower costs. With a traditional lawyer, you’re able to have a more white-glove approach to the process.
Step 4: Have your initial consultation or go through your online service’s questionnaire
If you’re hiring a lawyer you will have your initial consultation with them. If you’re hiring through an online service like HelloPrenup, you’ll fill out a questionnaire. This step helps the system or the attorney understand your wants and goals for the prenup. Things like, how do you want to treat pre-marital assets? Do you want to waive spousal support? What about future inheritances? The answers to these questions will help carve out an agreement that is tailored to you and your partner’s needs.
Step 5: Fill out financial disclosure
Regardless of how you are getting your prenup, you’ll need to undergo financial disclosure. This is a process that is required for prenups in Ontario. It involves sharing the full value of all of your financial information–assets, debts, income, and future inheritances. It also includes an exchange of financial documents to back up the information you share. For example, paystubs and bank statements will need to be exchanged.
Step 6: Wait for the drafted agreement
Once steps 4 and 5 are complete, your online service or attorney will then draft the agreement. With an online service like HelloPrenup, this is nearly instantaneous. With a lawyer this process may take several weeks, depending on the lawyer’s availability and speed.
Step 7: Negotiate any terms if necessary
Once the drafted agreement is complete, there may need to be some back and forth between the partners’ lawyers to negotiate any terms. However, if you used HelloPrenup, you would have already negotiated this prior to the agreement being “drafted.” Negotiations through an online service like HelloPrenup involve the two partners sitting down and privately discussing what they want to do to come to an agreement. Negotiations through lawyers involve the two lawyers talking and then bringing back information to each fiance, which can be a bit more cumbersome.
Step 8: Final review and questions
Once negotiations are complete, it’s time for a final review of the document. If you hired a lawyer, you can also ask questions at this point. This is your chance to thoroughly read through the document and ensure that you understand every single line. Remember, it is a legally binding document, and once it’s signed, there’s no going back (unless you amend it).
Step 9: Sign and witness the document
The last step is simple–sign it! In Ontario, both partners are required to sign the prenup in the presence of one witness who is not a party to the contract. This can be a friend, a coworker, a stranger, or a neighbor. Basically, anyone who doesn’t have an interest in the agreement. Once it’s signed, you’re all set! Time to pop the Champagne and cheers to a happy marriage ahead.
Benefits of prenups
Now that you’re aware of the how-to. Let’s talk about the “why.” If you’re not already convinced by now, prenups are incredibly powerful tools for couples. They’re not just about protecting assets. They are also a vehicle for important conversations between future spouses. How? Well, first, you’ll need to discuss your financial and lifestyle goals. This includes how you want to treat finances during the marriage, how you want to handle property, whether or not you want to have joint bank accounts, etc. In addition, you’ll need to share all of your assets with your partner during the financial disclosure process which brings you two that much closer together.
Here is a quick and dirty rundown of the benefits of prenups:
- Streamlining a potential divorce, making it quicker and cheaper
- Peace of mind that you are protected in any scenario
- Understanding each other’s life and financial goals
- Learning about your partner’s finances
- Protecting pets and children from previous marriages
Is there anything prenups can’t do?
The bottom line on creating a prenup in Ontario
Creating a prenuptial agreement in Ontario doesn’t have to be scary. By following these nine straightforward steps and making sure you comply with Ontario law, you can establish a solid foundation for your financial future. Whether you opt for legal counsel or an online service, a prenup is a valuable tool for open communication and financial security. Happy planning!
Anna-Marie Musson is a Family Lawyer with over 20 years’ experience. A graduate of Windsor Law, Anna-Marie began practising in 2003. She was a partner at a prominent national Bay Street law firm before starting her own firm. Anna-Marie helps professionals and high net worth clients navigate the financial, emotional, and legal issues in divorce and separation. She also helps clients preserve their net worth and avoid financial ruin with Marriage Contracts (Pre-nups) and Cohabitation Agreements. Anna-Marie is the host of the Modern Divorce Show on 105.9 The Region and also hosts the upcoming Podcast – Love & Wealth.
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