A prenuptial agreement is not a premonition of divorce, as most people think. Instead, consider it a safety net if things don’t work out in the marriage. A good number of couples end up splitting up, and it is better to be safe than sorry.
Without a valid prenuptial agreement, the fate of your assets lies with the court and your state laws. You may lose out as a result. That said, here is what you should include in your prenup.
Separate and marital assets or debts
It is necessary to clarify the status of each spouse’s assets and debts, especially when either spouse has significantly more assets or debt than the other. You do not want to shoulder your spouse’s debts, nor do you want to lose your assets. Therefore, ensure you aptly capture such information in your prenup.
Provisions for children from a previous marriage
Do you have children from a previous marriage? If so, a prenup can help provide for them. You can state what they are entitled to from your estate if you pass away. While it does not take the place of a will, a prenup can help ensure your children from a previous marriage are not left out when you are gone.
Marital responsibilities of each spouse
A prenup should also include the contribution of each spouse to the marriage, financial or otherwise. When each spouse understands their obligations, it will be easier to forge ahead without conflict or misunderstanding.
Property division in the event of a divorce
Who gets what when you decide to go separate ways? A prenup can help remove the uncertainty of the property division process. By including provisions that dictate how marital property and debt will be divided, you may not even have to contest the divorce.
Prenups are legally binding
A prenuptial agreement is enforceable and binding on both parties. However, it must be drafted right, and its terms should be fair. To ensure you have a valid prenuptial agreement, do not take any chances.
Reach out for help in creating a prenuptial agreement that will stand the legal test and protect your interests when your marriage does not work out.