Many people think a prenuptial agreement is only to protect the rich. However, many folks are starting to execute prenuptial agreements and here are 4 reasons why they are something everyone should consider.
Pass separate property to children from prior marriages
In order to protect the children from a prior marriage, a prenuptial agreement can outline what will happen to property upon their death that may have been in the family or specifically purchased to pass down. Without this, a surviving spouse could claim a large portion of the other spouse’s property or assets without regard for the children. This measure protects the wishes of the spouse similar to a will.
Clarify financial measures
Simply stated, clarification of financial rights and responsibilities during a marriage can often be spelled out specifically. Children or wealth are not always a factor.
Avoid a difficult divorce
While no one marries with the intention of getting a divorce, if the time comes when a couple would divorce, a prenuptial can help alleviate arguments and differences. Specifically, spelling out how property, money and assets will be divided up front.
Protection from debts
Prenups can also be used to protect spouses from each other’s debts, and they may address a multitude of other issues as well.