What is one reason why a normal, everyday couple should get a prenuptial agreement?
To help you appreciate the need for normal, everyday couples to make prenuptial agreements, we asked married professionals for their best insights. From securing each other’s business in case of a divorce to facilitating asset transfer when one person dies, there are several reasons that would help you realize the importance of getting a prenup even if you consider yourself just a normal, everyday couple.
Here are five reasons these leaders offered for why normal, everyday couples should get prenuptial agreements:
If one of the duo is a businessman or businesswoman and has their own company, prenups are a great way of ensuring company finances remain separate from the rest and safe. If we consider that nowadays, people marry later than in the past, having acquired more assets before marriage, and that they divorce more often, it is only prudent to secure the company’s future should a couple decide to go their separate ways. Thanks to a prenuptial agreement, a business will be protected in the event of a divorce.
Natalia Brzezinska, Marketing & Outreach Manager, PhotoAiD
One reason every day couples should get a prenup agreement is that it puts the emotion out of the relationship and helps couples think about their finances and their goals for their future together in an objective way. It helps them think about how they want to handle their assets and debt if they get divorced or separated. It also helps couples avoid having to go through a long, expensive, and emotionally draining divorce after they’ve been married for years. So, I believe it’s very important for couples to have a prenuptial agreement in place to prevent unpleasant surprises down the road by being realistic about money matters.
A prenup manages expectations of what happens before and after a divorce. It is worth considering especially if one of the partners owns high valued assets or real estate investments. In this case, there are high expectations concerning the disposal and titling of such properties in the event of a divorce. Prenuptial agreements help solve the stress and time used to resolve these situations.
The mistake a lot of people make is thinking that prenuptial agreements are about protecting assets when you get divorced. And to be fair, they can do that. However, the prenup is really about taking money, assets, and other factors out of the equation and ensuring that the reason you’re getting married is because you love, value, and care about the person you’re getting married to, not just what they have when you get divorced from them.
Prenuptials come in handy during the process of transferring an inheritance to the next generation if one party dies. This is especially important when one or both people have children from a previous relationship. It is a necessary agreement to make when the couple in question decides to separately own property, even while they are still married. The prenuptial acts as evidence of that agreement. This will exclude the surviving spouse from the property or estate covered in the agreement. It makes things transparent for both partners so that they are less likely to seek ownership of the property they are not entitled to. Instead, the inheritance is peacefully passed on to the legally intended beneficiary.
Grant Barra, Senior Vice President of Operations, RELI Exchange