What is the purpose of a prenuptial agreement?

One of the things that many people believe would ruin a wedding is a discussion of a prenuptial agreement. It's a common thought that the prenuptial agreement is one that means you don't trust your spouse or that you want to prevent your spouse from accessing your assets.

Prenuptial agreements aren't there to help just one person, and they can benefit both of you if they're created correctly. A prenuptial agreement could protect an inheritance or prevent you from taking on your spouse's debts.

Prenuptial agreements aren't always necessary when a couple has little in the way of assets before marriage, but for those who are marrying later in life, assets could become a concern. Those who have been previously divorced may also want to have a prenuptial agreement to make sure their children or other beneficiaries are protected and that all assets don't go to the person's spouse in the case of a divorce.

Prenuptial agreements are designed to give you financial security. In the case that you do end up going through a divorce, having a prenuptial agreement can prevent you from having to fight over assets. With the prenuptial agreement in place, it's much easier to draw up a separation agreement and move forward with the divorce.

Prenuptial agreements help you decide how assets and debts will be divided in the case of a divorce. They also can have other provisions in them, like how much would be paid in spousal support after divorce or who would be responsible for legal fees. If you think a prenuptial agreement is right for you, your attorney can help you draw one up.

Source: Inside Indiana Business, "Wedding Approaching? What About a Prenup?," Abby VanDerHeyden, May 01, 2017

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