Prenuptial Agreement Planning
Below, our friends from The Spagnola Law Firm discuss prenuptial agreement planning.
A Prenuptial Agreement Sets Forth Expectations In Writing
In preparing for marriage, wise individuals and couples take time to think carefully about what marriage will mean in practical terms and how to prepare for it. For many couples, discussing the terms of a prenuptial agreement can be a meaningful exercise that can clarify expectations in terms of financial matters.
Think Of A Prenuptial Agreement As An Insurance Policy
Although no engaged person wants to contemplate the possibility of divorce at a happy time before a wedding, thoughtful people realize that in our culture, divorce is common. It can be foolish to ignore the possibility that a marriage could run onto rocky ground at some point.
A prenuptial agreement is something like an insurance policy that lays out clearly how property and income would be divided in the event of a divorce down the road. Individuals who have been married previously, who have children from a previous relationship, who have extensive asset portfolios or who plan to start a business are all examples of likely candidates for prenuptial agreements. In case of a divorce, a prenuptial agreement can save couples many thousands of dollars in legal fees as well as aggravation and contention.
A Prenuptial Agreement Is A Custom Made Marriage Contract
Another way to think of a prenup is as a private, custom-designed contract. A prenup can spell out who will be in control of which assets both during a marriage and in the event of a separation someday. Some couples include agreements about religious education of future children and other specific expectations they will take with them into marriage.
The fact is that a prenuptial agreement allows both parties to write their own law regarding the dissolution of marriage, and many things can be done in a prenuptial agreement that might not otherwise be possible in court.
There are many things that couples may not have considered prior to getting married that can have a drastic impact on their future. This is true even if the parties do not divorce. For example, many couples have children from a prior marriage and they don’t consider the consequences of death after remarriage. If all of your assets are left to your spouse, then your children may end up with nothing. Your spouse may inherit everything and then leave it to his or her children, leaving your children with nothing. Provisions that address these scenarios can be part of a prenuptial agreement.
A Premarital Agreement Is One Of The Most Valuable Investments You Can Make
“If you really love someone then you don’t need a premarital agreement because that shows a lack of faith in the marriage.” You’ve probably heard this argument from your friends or future spouse. The reality is that nearly half of marriages end in divorce. There is a light-hearted saying that marriage is the leading cause of divorce, but there is a lot of truth in that statement. Nobody gets married planning to get divorced, yet it happens to nearly 50% of all couples.
A premarital agreement benefits both parties because it puts you and your spouse in control instead of lawyers and courts. A contested divorce action will cause both of you thousands of dollars, and the decision not to get a premarital agreement is one you both are likely to seriously regret if the marriage ends. A premarital agreement takes many potential conflicts off of the table and it’s done without the limitations and costs of litigation or negotiating a separation agreement when emotions are high and feelings often hurt.
A family lawyer can discuss your particular situation and how a prenuptial may be able to help you.