By: Admin / TextrOnline
Before getting married, you need to secure finances so that they get divided fairly in case of a divorce. Prenups have become increasingly popular in recent years, and you might be wondering, “Should you have a prenup?” According to financial expert Suze Orman, every couple needs to draw up and signa prenup agreement.
“If you can’t talk money with the person you are going to marry, you are doomed for failure” – Suze Orman.
A prenup is a legal agreement that couples sign before getting married. This agreement enables the couple to select and control each other’s legal rights in case of divorce. A prenup can also be signed for intangible assets like intellectual property. Millennials are more inclined towards prenups because intellectual property is worth more than a physical asset.
When couples marry, they often believe their union will last forever. However, marriages can end up in divorce, and the end of some unions results in a bitter conflict overfinances. Here are 4 reasons you should sign a prenup to avoid a messy end.
Things can turn disastrous if your matrimonial end is dragged to the court. Every state has different laws regarding property distribution. If you don’t have a prenup, the judge will base your properties’ division according to the state statutes.
Prenups ensure your family assets stay in the family. Ensuring an heir gets one could benefit from the family. Expert divorce lawyers believe that parents who don’t want the money they leave behind for their children to go to a former son-in-law or daughter-in-law benefit from prenups.
Prenups are excellent for people getting married at an older age. If you are financially stronger than your spouse, you might want to protect your money earned before marriage from being distributed. Prenups can ensure that the distribution of assets should be of the ones acquired after the marriage.
In community property states, spouses are liable for each other’s assets and debt. Signing a prenup in this situation can protect against the financial liabilities of your partner after the divorce.
More and more couples are signing prenups before getting married. This little financial step saves couples from tremendous stress in the future. Moreover, prenups are legal documents that protect your assets earned before marriage. So, it’s only wise to shield the money you made before having a partner. Finally, a prenup is an excellent option for older people because they might end up on the road paying alimony in case of divorce.