Not Necessarily Romantic-But Definitely Smart: The Top 5 Reasons You Need a Prenuptial Agreement

It is not the easiest conversation to have when you are in love and just about to start married life with someone, but deciding to enter into a Prenuptial Agreement (PNA) before marriage is definitely a smart move. These are no longer agreements just for celebrities and the super wealthy; but rather a PNA (a legal contract entered into before marriage that helps define property and financial rights in the event of divorce) can be helpful to lots of different kinds of relationships and economic circumstances; first marriages, second marriages, later in life marriages, marriages with big disparities in earnings and assets, or where there are significant health or future concerns for either party.

My prior blog post explained the legal standards around enforcement of PNAs, but here are the Top 5 Reasons You Should Consider a PNA:

1.      They Help Prevent or Reduce Conflict in the Event of Divorce;

2.      They Protect Pre-marital Assets;

3.      A PNA can distinguish what will be considered marital property once you are married and what will remain separate property;

4.      A PNA can Support Your Estate Planning and Help Prevent or Reduce Estate Litigation; and

5.      A PNA can establish financial rights in the event of divorce (such as payment of alimony/spousal support).

A PNA can protect pre-marital assets like homes, investments, trusts, and business assets. This can be applicable in situations in which you wish to pass property to children from a prior marriage or where you come to a first marriage with pre-marital assets.  It can clarify financial rights (i.e. entitlement to support) regardless of how wealthy you are an irrespective of whether or not you have children together.  These agreements help distinguish marital property and separate property and can be done in conjunction with estate planning. They can also help assign mortgages, school loans, credit card debt and other debt to a given spouse; protecting you from sharing liability for debt.

Obviously one of the main purposes of PNAs is to avoid conflict in the event of divorce. As these agreements are often difficult conversations to have with your significant other it is important to start these conversations as early as possible.  It is also important to reach out to a family law attorney well in advance of a contemplated wedding date to begin discussing a PNA.

If you are contemplating marriage or have a wedding date on the calendar, find out how a prenuptial agreement might help protect you, your spouse and your family in the future. Contact Georgia Fraser, Esq. of Fraser Family Law Office, LLC for a consultation. (609)223-2099.