Prenuptial Agreements: What You Need to Know
Prenuptial agreements, also known as premarital agreements or prenups, are contracts that two people about to get married create to define the terms of ownership, division of assets, and liabilities in case of a divorce or death. The agreement can range from simple to complex, but there are key factors to consider when drafting it. As reported by The New Yorker, prenuptial agreements are becoming more popular. Individuals seeking to protect their future spouses from the debt collection system are more frequently using prenuptial agreements.
If you are considering a prenuptial agreement, here are some questions to ask your lawyer:
- Property Ownership: Do you own any property, such as a home or real estate? It’s crucial to determine if it will be considered separate or marital property in case of a divorce or death.
- Separate Home: If you own a home, can you keep it separate and not subject to division in case of a divorce?
- Elderly Parents: If one or both of your parents are elderly, will your spouse be entitled to any inheritance you may receive in the future?
- Future Earnings: How will future earnings and assets be divided in case of a divorce? Will each person retain control over their separate earnings or will they be combined and divided equally?
- Debt: If either person has debt, who will be responsible for paying it off in case of a divorce?
- Will: If you already have a will, will the terms of the prenup supersede or complement it?
- Engagement Rings: In some states, engagement rings are considered separate property and not subject to division in case of a divorce. Determine if this will be the case in your prenup.
These are just some of the many factors to consider when drafting a prenuptial agreement. Work with a lawyer who specializes in this area to ensure your prenup accurately reflects your wishes and protects your rights. The Law Office of Sara A. Turner can help draft a prenuptial agreement for you and your future spouse. Schedule a consultation appointment today to start the process.