4 Things to Know About Creating a Prenuptial Agreement
A prenuptial agreement can be a difficult subject to broach for engaged couples. To some people, it is a red flag to say that there isn’t a real foundation of trust.
But in reality, a prenuptial agreement is a sensible step to take before you get married. Nobody knows what is coming in life, and with all the good intentions in the world, marriages can end.
But what is a prenuptial agreement? How do you go about creating one? We’re going to take a look at some important things to know about a “prenup”, so keep reading.
1. Know What You’re Actually Creating
A prenuptial agreement isn’t as simple as some might think. To many, it’s a signed document that declares who gets what should the marriage come to an end.
There’s a whole lot more to it than that. A prenuptial agreement will also cover the following areas:
- assets you owned prior to getting married
- expected inheritance
- how debts will be divided
- what will be left to children (including from a previous marriage)
As you can see, it’s much more than a percentage split of your net worth as a couple!
2. Understand the Purpose of a Prenuptial Agreement
Before you go ahead and create a prenuptial agreement with your spouse-to-be, it’s important to emphasize the word agreement.
To people who don’t have an experience of one, it might just look like a way to cover your back, should your relationship break down.
However, it’s far more healthy to look at it as something that you decide together.
It’s less a case of “if we break up I want this”, and more a conversation that brings clarity to both parties.
3. Understand What Happens If You Don’t Have a Prenup
If you decide that you don’t want to sign a prenuptial agreement, that’s completely your decision and one that nobody should make you feel uncomfortable for making.
However, it’s important to be aware of what laws you’ll come under, should your marriage end.
If you want to know more about South Carolina law, speak to one of our experts in family law.
4. Understand How Prenuptial Agreements Work In South Carolina
In marriage law, there is something called the Uniform Prenuptial Agreement Act, which provides guidelines for prenuptial agreements.
In South Carolina, this act is not adopted, meaning the state acts under its own rules and guidelines when considering prenuptial agreements.
A court will rule whether to allow a prenuptial agreement based on a number of factors:
- each spouse has a good understanding of the other’s financial situation
- each spouse voluntarily signs the agreement
- each spouse has fully disclosed their assets and liabilities
- the agreement doesn’t make divorce seem a good option
Generally speaking, as long as the agreement is fair and honest, it has a good chance of being accepted.
Need Help Creating a Prenuptial Agreement?
A prenuptial agreement isn’t something you should create on a whim.
Spend time speaking to your future spouse about what the benefits of having a premarital agreement are, and weigh up whether it’s something you think would be beneficial to you both.
If you need help or advice from a Mount Pleasant lawyer, don’t hesitate to get in touch with us.