DO'S and DONT'S before saying "I Do"- Prenuptial Agreement Basics

You don’t have to be rich and famous to benefit from having a “prenup” drafted, but you do have to finalize it before the wedding, or it won’t be considered prenuptial.  If handled delicately, it doesn’t have to be a romance killer, and it can be a good, practical device for mapping out each person’s financial expectations going into the marriage. No one gets married anticipating a divorce, but the reality is, almost half of all marriages in the U.S. end in divorce or separation.

When considering a prenup, here are a few do’s and don’ts:

1.    DO hire experienced family law attorneys who have expertise in your residential state’s divorce laws and are knowledgeable about drafting these types of agreements.

2.    DO disclose your finances to your fiancé- during this process to prevent this agreement from being overturned by the other spouse claiming it was fraudulent or unfair.  This presents a good opportunity for discussing which premarital assets or debts you wish to keep separated during the marriage.

3.    DO discuss your business if you own one- to ensure there is a consensus about how the business would be managed and shared (or not shared) in the event of a divorce.

4.    DON’T create an agreement that is extremely lopsided, where one person gets to keep all the assets while the other is saddled with all the debt.  These types of agreements are more likely to be thrown out if the other spouse starts a contested divorce.

5.    DON’T use just one attorney, there should be two attorneys involved in this process.  One for you and one for your spouse, to protect the integrity of the agreement.

If you aren’t sure whether you want or need a prenup, it is still prudent to have a consultation with a family law attorney before getting married. Become educated about what to do, or what not to do, with premarital property and assets you wish to keep as your own in the event of a future legal separation.

  Yes, I am an attorney but I’m not your attorney and this article does not create an attorney-client relationship. This article is legal information and should not be seen as legal advice. Consult with an attorney and a financial planner regarding your situation and goals.