Premarital agreements are contracts entered into by couples before they get married that address what will become of their property in the event of a divorce. Most people are not thinking about divorce before they get married, but with high divorce rates, there is a possibility you may be facing a divorce in the future.
What Does a Premarital Agreement Cover?
A premarital agreement can deal with almost any type of property. If you own a house, a business or substantial financial assets you should consider protecting them with a premarital agreement. Premarital agreements do not normally apply to child support or child custody, but are very effective at protecting an individual’s property.
Once a person is married, then the growth of their assets can be considered a martial asset. For example if you own a house or business and that house or business increases in value during the marriage, then your spouse may have a claim against that house or business even if her name is not on it. A premarital agreement will clearly state the house or business, and the increased value, belong to you. One can also set out in advance the amount of spousal support that is to be paid in the event of divorce.
A premarital agreement cannot eliminate all risks involved in marriage but it can reduce some of the uncertainty as to how much of your property your spouse can get in a divorce. If you own a house, business, or other assets you should contact an attorney before getting married.