When you are planning to marry, you are likely not thinking about a potential end to the relationship in the future. Most people do not get married assuming their relationship will end someday, but that is a possibility for many couples. Even if you are certain about the solidity of your relationship, it may be beneficial for you to put certain plans and protections in place. One way that you can do this is through the drafting of a prenuptial agreement.
A prenup is a legal contract that outlines how a couple will divide marital property in the event of a divorce. It may not seem romantic to plan for the possibility of a divorce, but there are many benefits to preparing for this contingency. Even if you never need to rely on your prenuptial agreement, having one in place could give you confidence regarding your Arkansas property rights, long-term financial interests and more.
Benefits of a prenup
You may associate prenuptial agreements with the rich and famous, or individuals who possess a significant amount of wealth. While it is true these agreements benefit high-income and wealthy individuals, they can provide benefits to average income individuals as well. This type of agreement can do more than just outline what will happen to your marital property in the future. Additional benefits to a prenuptial agreement include the following:
- It allows you to designate which assets count as marital property.
- It can protect an inheritance you receive while married.
- You can protect family business interests or closely held assets.
- You can avoid the stress of a complex legal battle over property during a divorce.
- You can use terms to outline financial responsibilities of both spouses during marriage.
Discussing a prenup with your fiancé may not seem like a positive or romantic conversation to have, but it will allow you to have important financial conversations that will be beneficial to both parties over the course of the marriage.
Drafting a strong and sustainable agreement
It is important that the terms of your prenuptial agreement are fair and reasonable. If any part of the contract is incorrect, unfair, illegal, vague or problematic, that could be grounds for the other party to challenge some or all of the terms of your agreement in the event of a contentious divorce. To ensure that you have an enforceable agreement, you will benefit from having professional guidance as you draft this contract.