Why Is a Prenuptial Agreement a Good Idea?

Although prenuptial agreements may not seem romantic, they can be a responsible decision.

A prenuptial agreement, also referred to as a premarital agreement or a prenup, is a contract that specifies what will happen to a couple's assets if they divorce. Although prenuptial agreements may seem unromantic, they can have many benefits.

Divorce Statistics

A third of first marriages end in divorce, and half of second or third marriages also fail. Although divorce may seem unlikely to a happily engaged couple, it is statistically very common.

Common Prenuptial Agreements

Prenuptial agreements are most common in situations involving one person who has considerably more assets than the other and also in second marriages.

Strengthening Current Relationships

Discussing issues like money and property can clarify a couple's understanding of their assets, which can improve the relationship and decrease the probability of divorce.

Clarifying the Future

A prenuptial agreement allows both people in the marriage to have a clear understanding of what life after divorce would be like.

Facilitating Divorce

If a couple decides to divorce, a prenuptial agreement can facilitate the process, making it faster, more efficient and less contentious.

References

• Legal HelpMate: Prenuptial Agreement FAQ
• Nolo: Prenuptial Agreement Benefits and Drawbacks
• ExpertLaw: The Prenuptial Agreement