Most people assume prenuptial agreements are only for the rich. This is an easy conclusion to reach. The media often uses prenups to depict wars between wealthy people. The contracts themselves also have a heavy focus on finances.
Don’t assume, however, that a martial contract is not for you. Regardless of your economic status, there are benefits to creating and signing this document with your spouse.
Marital Contracts Can Assign Roles
Many married couples argue about their jobs within the marriage. A topic as simple as who cleans the dishes can turn into a blowup for some.
Using a marital contract, you can assign certain roles to each partner. By putting these roles in an official contract, you can move forward without confusion. You both know that one partner manages the finances, the other oversees the kids’ education, and so on.
Often, it takes some time for married couples to understand their rhythm. One partner, for instance, may assume they are better suited for the finances. Later, they discover that they are more equipped to handle childcare.
If you’re concerned about creating roles that won’t work, you can wait until after you’re married to create a postnuptial contract. “Postnups” are essentially the same as prenups. You just make them after you are already wed.
Marital Contracts Can Designate Property
Generally, there are two types of property in a marriage: marital property and separate property. Marital property usually consists of anything either spouse purchased during the marriage. Separate property belongs to just one person. It includes gifts from people outside the marriage, inheritance, and anything you owned before the marriage.
Using a prenup, you can specify which property is always “yours.” For instance, if you have a large collection of something – like coins, comic books, vinyl records, etc. – you can assume that you will add to that collection during the marriage. If your spouse buys you a new piece for Christmas, they are technically a co-owner of that piece. Your marital agreement can designate that certain property will belong to just one spouse.
A prenup can also set aside money for the children, retirement, or other purposes. You can stipulate within the contract that neither party can touch this money unless it is used for its intended purpose.
Marital Contracts Can Make a Divorce Easier
It’s uncomfortable to consider the possibility of a divorce, especially when the marriage is new and exciting. The reality, unfortunately, is that currently, the divorce rate still rests at about 50%. You can’t predict the future or what changes your relationship will endure, but you can protect yourself for the worst.
Using a prenup, you can plan for the possibility of divorce. You can decide how to handle property division, spousal support, child custody, child support, and so on.
Doing this now can save you a lot of pain and aggravation in the future. There may be some specifics you need to iron out if a divorce happens, but you can stick to the board plan that you already created with your spouse.
Our team is ready to help answer all your questions about premarital contracts, and we can work with you to create an agreement that benefits both spouses. For a free consultation, call us today at (407) 753-4111 or contact us online.