Many engaged couples in California want the protection of a prenuptial agreement. They negotiate certain terms with each other to help ensure a healthy, functional marriage and prevent a messy divorce.
Every prenuptial agreement contains unique terms based on the circumstances and wishes of the individuals signing the document. However, there are certain concerns that are relatively common. What issues do engaged couples frequently choose to address in a prenuptial agreement?
The protection of separate property
California is a community property state, which means that most assets are vulnerable to division in the event of a divorce. Engaged couples can proactively protect some of their resources when drafting a prenuptial agreement. They can designate a small business or a retirement savings account as separate property that they do not intend to divide if they divorce later.
The guidelines for asset distribution
Community property rules determine what happens when couples litigate their divorces. However, people can establish a specific plan in their prenuptial agreements for dividing marital income and property if they divorce.
The possibility of spousal support
Some people know when they decide to get married that they hope to have children or may need to act as caregivers for their aging parents. A couple may have already agreed that one of them should fulfill those family responsibilities.
The spouse planning to make career sacrifices for the family can protect against future financial hardship by negotiating terms for financial support if they divorce after putting their career on the back burner.
Integrating the right terms into a prenuptial agreement can help engaged couples enter marriage with confidence. They can align their expectations and reduce their risk of a contentious divorce. Getting experienced legal guidance is a smart first step.