Prenuptial agreements can help future spouses entering into a marriage in a variety of circumstances not limited to situations prenuptial agreements are commonly associated with. When a couple decides to marry, they should be familiar with when a prenuptial agreement can help them.
Purposes for a prenuptial agreement
There many instances when a prenuptial agreement can help a couple about to be married including:
- One or both of the future spouses had a prior marriage – if one or both of the future spouses has been through a prior marriage and divorce, they may want to protect their financial interests and avoid a messy divorce the second time around if the couple divorces.
- One or both of the future spouses has children – a prenuptial agreement can be used to protect the financial interests of children from a prior marriage.
- One of the future spouses plans to remain in the home – a prenuptial agreement can protect the financial interests of the wealthier spouse which is a commonly recognized use for prenuptial agreements.
- One future spouse is wealthier or has more debt – the future spouse without the debt may wish to protect themselves from the debts of the other future spouse.
- One or both of the future spouses owns a business – dividing a family business during divorce can be a challenging process which is why a spouse entering a marriage who has a business may want to protect their interests with a prenuptial agreement.
- One of the future spouses has an inheritance to protect – though inheritances can be protected as separate property during the property division process, a prenuptial agreement can add additional protection for an inheritance.
- The future spouses want to maintain privacy – the divorce process is public with public filings in the divorce court record; deciding on divorce-related issues that can be addressed in a prenuptial agreement can help keep the process more private if the couple decides to later divorce at some point.
There are a variety of situations when a prenuptial agreement can be beneficial for couples entering into a marriage. Couples should always carefully consider the benefits of a prenuptial agreement prior to getting marriage.