If you and your partner have recently made the decision to get married, you are likely busy planning for the ceremony and for your blissful future together. Your excitement and love for one another may seem like it will endure forever, but this is not the case for about half of all married couples nationwide. The divorce rate still hovers around fifty percent, so it appears that even spouses who pledged to love each other forever eventually drifted apart and filed for divorce. While it may seem like a strange time to plan for a possible divorce as you are planning your wedding ceremony, financial and legal experts highly recommend taking some time to put a prenuptial agreement in place that will protect your future—whether you end up staying together or walking away from your marriage. Let’s take a look at three main financial benefits of creating a prenuptial agreement, and how these actions can gift you more stability in the long run.
Benefit #1: Control Over how Your Property and Assets are Divided
Even if you cannot picture yourself trapped in an unhappy marriage one day, you may eventually find that divorce is the best option for you. In many divorce proceedings, especially those where the divorcing individuals are unable to communicate respectively, civilly, or productively, the court will step in to oversee the division of property and assets. Although judges strive to achieve an equitable division of assets, their definition of “equitable” may be very different from your own. By drafting a prenuptial agreement early on in your marriage, you and your spouse can lay out clear guidelines for how you wish your assets and property to be divided in the event that you decide a divorce is your best option. Also, as court battles over the division of assets and property can quickly become expensive, taking some time to discuss and document your wishes while you are still on excellent terms with one another will most likely save you time, money, and stress in the long run.
Benefit #2: Keeping Divorce Costs Down
The divorce process can easily become costly, especially if there are heated arguments that are drawn out over a significant period of time. When there is no prenuptial agreement in place, divorcing spouses have no foundation or roadmap, so the process is often lengthy. However, if there is a prenuptial agreement already in place, all parties have a clear set of guidelines to follow, ultimately cutting down on arguments, time, and money. Rather than starting from scratch, you and your spouse (and your respective attorneys) will have a clear outline to follow, which tends to make the divorce process much smoother and shorter—ultimately saving you a significant amount of money.
Benefit #3: Safeguarding Your Business
If you own your own business (or own any interest in a business) and you are planning to get married, it is a wise move to create a prenuptial agreement that designates your business as separate property. Without doing so, you may be forced to divide up the business or liquidate it altogether during the divorce process. By taking the necessary time to clearly specify that this business will remain intact in the event of a divorce and fall entirely to you, you can save yourself much heartache and financial stress, should your marriage fall apart. Although every aspect of the divorce process can be complicated, the valuation and division of a business during the already complex procedure only creates more animosity and confusion. Protect your future self from unnecessary financial woes and emotional stress by putting together a prenuptial agreement that includes clear instructions and protections for your business.
To learn more about how prenuptial agreements can save you time and money, contact the dedicated and knowledgeable divorce and family law attorneys at Garretson & Holcomb, LLC by calling (513) 863-6600 today.