Top Five Reasons for a Prenuptial Agreement
What are the top five reasons for a prenuptial agreement? A prenuptial agreement in Alabama is a contract between two people before they get married that details how the couple wants certain issues decided after the marriage. There are many reasons why a couple may consider a prenuptial agreement. Prenuptial agreements mainly deal with what will happen to the couple’s finances in the event of a divorce. Oftentimes the agreements will determine whether one spouse will pay the other alimony if they get divorced. In Alabama you cannot decide child custody or child support issues with a prenuptial agreement.
The first reason that a prenuptial agreement is a good idea is to keep your finances separate. A prenup will determine whether the assets you own are separate for individual spouses or if they are part of the marital estate. These assets include cars, houses, and other finances. A prenuptial agreement can be a good idea if one spouse is considerably wealthier than the other. This is a good way to ensure that you will keep your assets in the case of an Elmore County divorce. If you make more money than your partner, a prenup can be used to limit the amount of alimony payable in the event of a divorce.
One example of when a prenuptial agreement would be a good idea is when one of the spouses owns their own business. This will give the spouse the power to protect their assets in the company. Keeping the company separate from the marriage is generally the best decision to protect the company in the event of a divorce. Both parties need to disclose all assets and liabilities through their divorce attorneys in Decatur, or wherever you live, before the agreement is valid. To prevent the sale of the business to pay for the divorce settlement or the loss of income from the company, a prenup is very important for protection.
A third reason that a couple would consider a prenuptial agreement is to protect one spouse from the other spouse’s debt. This is a good idea when one of the spouses has a considerable amount of debt. A prenuptial agreement is a way to keep that spouse from bringing the debt into the marriage. This will ensure that the less burdened partner does not have to pay off creditors in case they target marital assets for payment. A prenuptial agreement is a good way to limit one partner’s exposure to the other spouse’s debt.
The fourth reason for a prenuptial agreement is to protect your family property and estate plan. This includes anything that you have inherited from your family such as a family heirloom or even family real estate. The prenup will keep these assets separate from marital assets.
Another reason that a prenup is a good idea is to avoid extensive court proceedings if the marriage results in a divorce. The prenuptial agreement will help to disperse the assets according to the contracts and help to avoid the expensive process of going through court proceedings. This will help to reduce the cost of the divorce overall and encourage the use of a cheap no fault divorce in Jefferson County, Alabama.
Attorney Steven A. Harris regularly blogs in the areas of family law, bankruptcy, and real estate closings on this website. He is always available in any of the firm’s offices or by phone anytime for a consultation. Mr. Harris tries to provide informative information to the public in easily digestible formats. Hopefully you enjoyed this article and feel free to supply any feedback. We appreciate our readers and love to hear from you!
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