Premarital Agreements have become more popular in recent years as the divorce rate has risen and remained at about 50 % of all marriages. Many individuals, hoping to reduce the difficulties often associated with the divorce process, want to outline the rights and responsibilities of the parties in advance, should the marriage fail.
There are many situations in which a premarital agreement can be appropriate. Couples with substantial assets such as real property, pension plans, retirement accounts and stock options and business interests will often seek a premarital agreement to ensure retention of assets should the marriage prove unsuccessful. Families will often encourage children to obtain a premarital agreement if a child is responsible for family financial or business interests. The same is true for young professionals and entrepreneurs seeking to protect financial and business interests. Couples entering their second marriage will often seek an agreement defining the rights and responsibilities of the new couple should the second marriage become unsuccessful. This is often done to protect children of a prior marriage. These are just a few instances in which couples can consider a premarital agreement in contemplation of upcoming nuptials.
Financial disclosure and timing are essential when planning a prenuptial agreements. It is important to contact an attorney when contemplating marriage to determine if a prenuptial agreement is right for you. Once it is determined that a prenuptial agreement is needed, it is important that you work to ensure that the prenuptial agreement is completed earlier rather than later in your marital planning process.