Prenuptial agreements are often seen as simply an effort to protect a wealthier spouse’s assets in the event of a divorce. However, prenups can be a helpful tool in protecting both spouses’ financial interests.
Not only are prenups helpful when dividing property in a divorce, they can also absolve you of your spouse’s debts, set aside assets for children from a previous marriage, keep a small business intact, protect future inheritance and ensure that the family home stays in the family.
If you are contemplating marriage, a prenuptial is strongly recommended if you fall into one or more of the following categories:
- You are bringing $100,000 or more in assets to the partnership.
- You or your partner have substantial debt.
- You have children from a prior relationship.
- You own or co-own a business.
- You earn a sizable salary or expect to during your marriage.
- You expect to inherit assets from your family during your marriage that you would like to designate as separate property.
Although prenuptials are becoming more common, there may still be reluctance to broach the topic. Uncomfortable as the idea may seem, a prenuptial can help you and your significant other form a clearer picture of each other’s circumstances and goals. After all, marriage is not only a romantic relationship, but also a business relationship of sorts, both of which will benefit from you and your partner being financially in tune and thoughtful about the future.
If you are considering a prenuptial or postnuptial agreement and have questions, contact the Law Offices of Ronald L. Bell for help. Ron can provide you with information regarding premarital agreements, property division in a divorce and other family law matters.