Postnuptial Agreements: An Overview
When couples get married, they often don’t anticipate that they may eventually divorce. However, divorce rates in the United States hover around 39 percent, meaning that there is a chance that a couple may end up parting ways at some point. To prepare for the possibility of divorce, some couples choose to enter into prenuptial agreements, which outline how assets will be divided in the event of a separation.
However, prenuptial agreements are not always an option for every couple. Sometimes, couples get married without discussing a prenuptial agreement, or they may not have the opportunity to create one before getting married. In these cases, a postnuptial agreement may be an alternative.
What is a Postnuptial Agreement?
A postnuptial agreement is similar to a prenuptial agreement except that it is entered into after a couple gets married. Like prenuptial agreements, postnuptial agreements outline how assets will be divided in the event of a divorce or separation. Postnuptial agreements can also cover issues such as spousal support and property division.
Why Would a Couple Enter into a Postnuptial Agreement?
There are many reasons why a couple may choose to enter into a postnuptial agreement. For example, they may have had a change in financial circumstances, such as one spouse receiving a large inheritance or starting a successful business. They may also have realized that they need to plan for the possibility of a divorce or separation after getting married.
In some cases, a couple may also enter into a postnuptial agreement to strengthen their relationship. For example, a postnuptial agreement may help resolve conflicts related to finances and property division, which can lead to a healthier and more stable marriage.
How to Create a Postnuptial Agreement
Creating a postnuptial agreement is similar to creating a prenuptial agreement. Both parties need to be transparent about their assets and liabilities, and they need to agree on how to divide them in the event of a divorce or separation.
It is highly recommended that both parties consult with their own attorneys when creating a postnuptial agreement. This ensures that each party’s interests are protected and that the agreement is legally binding.
While postnuptial agreements are not as common as prenuptial agreements, they can be a valuable tool for couples who want to plan for the possibility of a divorce or separation. If you are considering entering into a postnuptial agreement, it is important to seek the advice of an experienced attorney. They can help you create an agreement that meets your needs and protects your interests.