What is a prenuptial agreement?

What is a prenuptial agreement?

On behalf of Stange Law Firm, PC posted in Property Division on Thursday, March 28, 2019.

Marriage is an exciting event. In addition to tying two people together emotionally and legally, the process is one that binds finances. This can leave some individuals concerned about their financial future even before the knot is tied. This is because these individuals fear that divorce could leave them in a disadvantageous financial position usually on account of the division of marital property.

Therefore, those who make a considerable amount more than their spouse, or those who expect to possess more assets than their spouse, may want to figure out a way to ensure that they retain a fair share of those assets in the event that their marriage comes to an end. The same holds true for those who may be foregoing a career to stay at home to take care of children. In these instances, a prenuptial agreement may be a viable way to protect financial interests, establish marital financial obligations and put minds at ease.

A prenuptial agreement is essentially a contract amongst the parties to a marriage, entered into before the marriage itself. This document can delineate which properties will be considered separate in nature and therefore exempt from any potential property division issues. The same can be accomplished with regard to marital debts. By doing this, an individual can avoid credit card debt, student loans and even mortgages acquired by his or her spouse.

Of course, a prenuptial agreement isn’t right for everyone. Some find that merely broaching the topic can set the wrong tone for the marriage. Yet, carefully addressing the matter can be extraordinarily productive, allaying financial fears and allowing a couple to focus on its new union. Those who choose to pursue these agreements need to do so carefully, though, as failing to do so could leave them taken advantage of in the event of divorce. This is why it is often critical to discuss these matters with a skilled family law attorney first.

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