While the term “gold digger” might be the first thing to come to mind when you hear “prenup,” there’s more to prenuptial agreements that you need to understand and take into consideration before determining if it’s the right thing for you and your spouse to-be.
A prenuptial agreement is an agreed upon contract drawn up between you and your fiancé that outlines terms relating to issues such as the division of assets and debts upon dissolution of the marriage. These assets could include businesses and real estate interests as well as the waiver of spousal support upon divorce.
Prenuptual agreements, or prenups, do not cover issues related to child custody and child support or personal habits, such as smoking and chewing tobacco. Consequences for bad behavior, such as cheating, are also not enforceable in this contract.
Becoming familiar with prenuptial agreements can help you decide if it’s the right step for you and your fiancé to take.
Here are some things to consider:
Uniform Premarital Agreement Act: The Uniform Premarital Agreement Act (UPAA) is a uniform act that governs premarital agreements. Consult with a professional on what your specific state laws are. It’s important to note that some states have amended and tailored the UPAA.
The Fear of Saying “Prenup”: You might find it unromantic to discuss anything related to divorce, but there is something romantic about being able to discuss any issue, even if it is emotionally difficult. It’s important to be open and honest in your discussion. It should also be discussed well in advance of the wedding to ensure it can be enforced in time.
It Takes Time: Before signing the agreement both you and your fiancé will need to obtain counsel. Full disclosure of all your assets and debts will be required in order to minimize the chances of having a court set it aside. This process takes time – you have to obtain a lot of documentation related to your assets and debts, the exchange process that occurs in order to review and revise the proposed agreement takes time. You also have to have time to think through and fully agree to the terms. You will be less likely to challenge anything in the agreement if both you and your fiancé are comfortable with the agreed to terms.
Deciding on a prenuptial agreement is a decision between you and your fiancé. It’s important to do your due diligence and understand the terms you are agreeing to in any document you sign.