The unfortunate reality when it comes to prenuptial agreements is that some couples who would otherwise stand to benefit from executing this legally binding document often opt not to do so owing to certain preconceived notions. Specifically, they view it as being unromantic or unnecessary, or, even more common, something reserved for those with considerable assets.
While it's certainly true that those people entering a marriage with significant assets and/or expecting to derive considerable income during the course of the marriage are more likely to execute a prenuptial agreement, it's imperative to understand that it’s also a viable option for couples of more modest means.
Those who remain unconvinced of this fact should consider that as recently as 2013, 63 percent of divorce attorneys surveyed by the American Academy of Matrimonial Lawyers indicated that they'd seen the number of prenuptial agreements drafted in recent years increase to a considerable degree. This suggests that it's more than just the 1 percent that are taking this step.
This naturally begs the question as to why more regular couples are taking this step:
- Business start-ups: While a budding entrepreneur may be long way away from the pinnacle of success before walking down the aisle, a prenuptial agreement can help ensure that should this occur and the couple later splits, the valuation method for assets will already be determined. This can save considerable time and money.
- Older ages: Times have changed, such that the average age of couples getting married is no longer early 20s, but rather early 30s. As such, there's a good chance that both spouses are entering the marriage with at least some assets to their name, as well as considerable debt. A prenuptial agreement can protect these hard-earned assets and insulate from debt.
- Family building: Not only are couples getting married later in life, they are also postponing having a family, perhaps even having embryos frozen for use at a later time. While a prenuptial agreement typically can't be deployed in child-related issues, it can be used to dictate the disposition of embryos, sparing the spouses from emotional trauma in the event of a divorce.
If you have questions about executing a prenuptial agreement or would like to learn more about divorce-related issues, consider speaking with a skilled legal professional.