Understand The Benefits And Guidelines For Prenups And Postnups
As the name implies, a prenuptial agreement or prenup is a contract that you and your fiancé(e) will sign before you get married, specifying how assets would be divided in case of a divorce. A postnuptial agreement or postnup, on the other hand, can be created and formalized anytime after you are married. Common motivators for postnups include a reconciliation after a separation or the formation of a business owned in whole or in part by one or both of you.
Prenuptial and postnuptial agreements once had a bad reputation. Many people were afraid to talk about the possibility of their marriages not lasting. Today, however, customized premarital and postmarital agreements are more and more common. At the law firm of Adam L. Seidel, in Dallas and Plano, people find reliable insights, direction and practical help creating and formalizing prenups and postnups.
Why Sign A Prenup Or Postnup?
Some reasons for the increasing popularity of prenups and postnups include the facts that:
- Americans are marrying at later ages than in the past.
- Women typically have their own careers and do not depend solely on their husbands’ support.
- Many Americans get married more than once.
- Blended families are common.
- Small businesses often require partners to have prenups or postnups to prevent business disruptions in case of a divorce by one of the owners.
For these and many other practical reasons, bringing up the topic of a prenup or postnup is no longer taboo for many engaged couples. Rather, many people consider the idea to be part of wise financial planning.
What If You Don’t Have A Prenup?
With no prenup in place, if you and your spouse divorce, you will need to negotiate at that time how your assets will be divided or rely on a family law judge to do so. Not surprisingly, it can be difficult to reach levelheaded agreements when you are under the stress of a marital breakdown.
Engagement, in contrast, is a hopeful time of life. A prenuptial agreement can represent an engaged couple’s mutual respect. Creating a prenup allows future spouses to make intelligent, thoughtful decisions long before any marital crisis.