Most people view prenuptial agreements as if they're for the rich or famous. Perhaps you've heard stories of a billionaire trust fund baby requiring his future spouse to sign a prenup that gives up her right to his fortune in the event of a divorce. Perhaps you've viewed prenuptial agreements as a kind of insurance policy against gold diggers. However, prenuptial agreements -- although they might serve this purpose in some cases -- are much more than a way for the rich to prevent losing their money in a divorce.
Even young people with very little in the way of personal assets can benefit from a prenuptial agreement, which is really a way of planning one's divorce procedure in advance -- just in case it becomes necessary. Although couples cannot decide all their divorce matters in advance -- for example, child custody and child support can't be covered in a prenup -- a premarital agreement can help couples pin down a lot of details, making the divorce process dramatically easier, faster and cheaper in the unlikely event it's necessary to dissolve their marriage.
Here are some of the most relevant prenup benefits:
- Document the individual property and debts of both spouses so that they remain separate property through the marriage
- Avoid the need for court involvement prior to property distribution in the event that one of the spouses dies
- Document special arrangements you and your spouse have made and agreed to
- Reduce the length and expense of divorce proceedings
- Lower the chances of a contentious divorce
- Establish rules and procedures for various marital issues
If you think you can benefit from a prenuptial agreement, consider speaking with a family law attorney who can assist you in evaluating whether a prenup is right for you and your family.