7 Must-Knows Before Getting A Prenup
Why consider a prenup?Forget everything you've heard, prenups can be romantic. Think of a prenup as a way to have a detailed financial plan for your marriage and as insurance that will hopefully never be used. Anecdotally, what many family lawyers have observed is that prenup clients are less likely to have divorces. A prenup can offer peace of mind and security. It allows couples to have open and honest conversations about their financial expectations, future goals, and potential risks. By addressing these matters beforehand, couples can enter into their marriage with a clear understanding of each other's financial situations and intentions. 7 Surprising Facts About PrenupsPrenuptial agreements have often been surrounded by myths and misconceptions. It's crucial to separate fact from fiction to make an informed decision about whether a prenup is right for you. So, let's debunk a few common misconceptions: Fact 1: Everyone needs prenups.Prenups can be helpful for couples at all income levels. A prenup is not solely about protecting assets; you can address debt allocation, spousal support, and other financial matters. Fact 2: Timing matters.Try not to wait until a couple of weeks before the wedding to do your prenup! Some states like California require that your prenup is completed at least a week prior to the wedding, while attorneys in New Jersey may not consider reviewing a prenup if it is within 30 days of the wedding.Fact 3: Yes, you can include your dog (or cat) in a prenup. Prenups can be as personalized as you want. While you can't dictate anything about child custody terms in a prenup, pets are fair game. Many couples now include "pet-nups" about who keeps the dog.
Key takeaways
- You must fully disclose all assets, debts, and income sources to your partner - transparency prevents the agreement from being invalidated and builds trust in your relationship
- Inherited assets can remain separate property with a prenuptial agreement, ensuring family wealth stays within your bloodline
- You and your partner need separate lawyers - some states actually require this, and it ensures the agreement is fair and legally enforceable for both parties
- Your prenuptial agreement can be updated throughout your marriage with a postnuptial agreement if your financial situation changes
- Avoid DIY prenups - hire a family law attorney who specializes in prenuptial agreements to ensure your document will hold up legally
Fact 4: Full disclosure is critical.
You and your partner have to fully disclose all assets, debts and income sources. Transparency means that you guys both know your financial situations going into the marriage. It prevents the prenup from being tossed out and ensures that your marriage starts on the right foot!
Fact 5: Inheritance stays in the family.
Got a wealthy aunt? A prenup can help ensure that inherited assets always stays as separate (i.e. your) property in a divorce.
Fact 6: You need your own lawyer.
When you each have your own lawyer, it ensures that you're creating an agreement that is fair and valid for both of you.
Fact 7: Prenups can always be updated.
If things change during the course of your marriage, you and your partner can always update your prenup by getting a postnuptial agreement, i.e. postnup.
Hiring a lawyer for your prenup
Don't DIY it. If you don't have lawyers involved, your prenup could be challenged. If you're going to do it, do it right:
- You want a family lawyer: Family law attorneys specialize in prenuptial agreements and have the appropriate knowledge of family law to navigate the complexities of drafting a comprehensive and enforceable prenup.
- Two Lawyers: You and your partner should have separate lawyers. In fact, some states require that you have both.
Frequently asked questions
Do both partners need separate lawyers for a prenup?
Yes, you and your partner should each have your own lawyer when creating a prenuptial agreement. Having separate lawyers ensures the agreement is fair and valid for both parties, and some states actually require that both partners have independent legal representation.
What happens if you don't disclose all assets in a prenup?
Full disclosure of all assets, debts, and income sources is critical when creating a prenup. If you don't provide complete financial transparency, your prenuptial agreement could be tossed out by the courts, making it invalid and unenforceable.
Can a prenup be changed after marriage?
Yes, prenuptial agreements can always be updated after marriage through a postnuptial agreement (postnup). If your financial situation or circumstances change during your marriage, you and your partner can modify the original agreement with proper legal assistance.
Does a prenup keep inheritance as separate property?
Yes, a prenuptial agreement can help ensure that inherited assets remain as separate property belonging to the inheriting spouse. This means inheritance from family members would stay within your family lineage rather than becoming marital property.
Should I hire a family lawyer for my prenup?
Yes, you should hire a family law attorney who specializes in prenuptial agreements. Family lawyers have the specific knowledge of family law needed to draft a comprehensive and enforceable prenup, and attempting to DIY your prenup could result in it being challenged later.