While love is essential for a successful marriage, building a solid matrimonial foundation also benefits from putting your individual and combined finances in order.

Leading up to this exciting union, many couples understandably focus on the celebration rather than financial planning. After all, the joy of getting married tends to dominate the couple's thoughts and time as they prepare for the big day. Who really wants to dive into serious money conversations when you're planning the ceremony, choosing the menu and preparing for family and friends?

Financial experts often note that couples who communicate openly about finances tend to report higher marital satisfaction¹. By addressing money matters early, you can prevent one of the most common sources of relationship stress. Here are several positive strategies to align your finances before getting married.


Creating Financial Protection Together

Financial planning before marriage isn't about preparing for failure—it's about creating a solid foundation for success. Consider these protective measures as investments in your shared future:

A prenuptial agreement ("prenup") provides each partner with peace of mind and a degree of financial protection. Signed before marriage, this legally binding contract establishes ownership of assets and determines how to honor each person's financial contributions. A prenup celebrates and preserves existing pre-marriage assets, such as real estate, investments, valuable possessions and partial or full ownership of a business. To get started, make a comprehensive list of the assets you're bringing into the marriage, and their monetary value. Exchanging lists encourages transparency and better understanding of each other's finances.

A prenup is also valuable when one or both partners carry significant debt obligations into the marriage, or if one partner has substantially more financial assets. As well, prenups can provide clarity when children from a previous relationship are involved, along with ongoing alimony/child support. A prenup that promotes fair distribution of property establishes an efficient framework with fewer disagreements and more favourable financial outcomes for each partner, whatever the future holds.


Additional Protection Options

An asset protection trust before getting married offers another avenue for financial clarity. Held in this trust are assets you wish to designate for specific purposes, plus it may also provide creditor protection. You'll designate an independent trustee to oversee and control the assets in your trust, and will pay annual fees to your trustee for their work.

If your relationship is already underway, a postnuptial agreement is signed after marriage and functions much like a prenup. It's a legal document that stipulates how to distribute the couple's assets if circumstances change.

For common-law relationships, a cohabitation agreement stipulates how financial matters are dealt with during the relationship, and how assets will be managed throughout your journey together. Unlike when a married couple separates, the default for property being split by common-law partners is not a 50-50 proposition – even if finances have been shared equally. For example, if only your common-law partner has their name on the title of your home, that property belongs to them, regardless of how much money you've invested into it. If both partners share equally in the expenses, it's usually advisable for each partner's name to appear on the property title.

Building Your Financial Partnership

Consider these positive approaches to creating financial harmony:

• Maintain separate accounts that hold assets each partner had accumulated prior to marriage, while opening joint accounts to cover your shared expenses. This approach honors your individual financial journeys while building your shared future.
• Create transparency by sharing financial goals and regularly discussing your progress together.
• Develop a shared budget that respects both partners' priorities and spending styles.
• Celebrate financial wins together, whether it's paying down debt or reaching savings milestones.
• Review and update your estate plans periodically as your relationship evolves, ensuring your will, beneficiary designations, and powers of attorney reflect your current wishes.

Remember, these financial discussions aren't just about protecting assets—they're about building trust, establishing shared values, and creating the foundation for a financially harmonious marriage.