When a couple plans to marry, they typically are not thinking about divorce. However, constructing a prenuptial agreement is a good idea, especially in certain circumstances.
Presenting the idea of a prenup can be challenging, as many see it as being unromantic. When approached correctly, however, it can improve a couple’s relationship.
Benefits of a prenuptial agreement
According to U.S. News and World Report, a major reason that people have a prenup is when one or both partners enter the relationship with assets or if one owns a business. A prenup can protect family members or business partners, and it also provides protections in the event there are children from previous relationships.
If the couple does get divorced in the future, having a prenup can drastically lower the costs of the proceedings. Discussing what goes into the agreement also allows the couple to have control rather than the courts.
Discuss hopes and expectations regarding money
Money is a common topic that partners have, and having open and difficult discussions prior to marrying can prevent many future arguments. Some of the things the couple should discuss include:
- Savings for personal use and college expenses
- Debt tolerance
- If someone will stay home with the kids
- How to, and who will, pay for expenses
- Retirement planning
- Owning vs. renting
Because these are important conversations, the couple should begin talking about them early on so there is enough time to come up with a fair agreement.
Ensure it is enforceable
The Florida Senate discusses some things that make a prenup unenforceable. These include if one party did not sign it voluntarily or if the signing occurred due to coercion, duress or fraud. A court will also not enforce it if there was not a full financial disclosure by both parties.