Prenuptial agreements have a bit of a bad reputation in society and continue to be a touchy subject among soon-to-be newlyweds. The presumption is that preparing for the worst means you are expecting the worst. Whether or not you end up deciding if a prenuptial agreement is right for your situation, the fact is that these contracts are not inherently bad nor do they mean you want or believe the marriage will fail. It is mainly a form of protection provided for a worst case scenario. It might seem unromantic, but having this in place can save you heartache, time, and money if it turns out happily ever after is not forever.
What is a Prenuptial Agreement?
A prenuptial agreement is essentially a contract, which both you and your future spouse must sign prior to the marriage. It addresses property rights and expectations in the event of a divorce, including spousal support. This means you will not be subject to community property or equitable division laws, depending on the state in which you reside, since your prenuptial agreement will override these rules. Instead of haggling over assets and possibly ending up in litigation, everything will be predetermined. What a prenuptial agreement does not cover are issues regarding any children of the marriage, such as child custody and child support. Including these issues in your prenuptial agreement might result in it being thrown out and regarded as invalid. If you want a judge to take your prenuptial agreement seriously, make sure your contract is well-drafted and addresses only issues that can legally be enforced.Making Your Decision
If you think a prenuptial agreement does not apply to you because you are not a multi-millionaire, now is the time to erase that thought. Prenuptial agreements are beneficial for more than just the celebrities you read about in tabloids. If you have property that belonged to your family and you want to protect it, this is something you will want to include in a prenuptial agreement. Additionally, you will want to consider signing a prenuptial agreement if:- You or your future spouse have been married before and is bringing assets into the new marriage
- You or your future spouse have children from a previous relationship
- You or your future spouse has a significantly greater income than the other
- You or your future spouse owns a business or part of a family business