PRENUPTIAL AGREEMENTS
PRENUPTIAL AGREEMENTS
A prenuptial agreement with provisions for separate property can provide financial security and ensure the desired division of assets and debts within the family in the event of death or separation.
Most married couples default to a community of property arrangement under many legal systems, meaning assets are typically shared if they separate or divorce. Upon death, shared property is divided between the surviving spouse and the deceased’s heirs, depending on the presence of a will or applicable inheritance laws.
Given the complexities of modern families with children from previous relationships, establishing separate property through a prenuptial agreement can be prudent to safeguard assets in case of separation or death.
There are several options for structuring separate property agreements:
- Divorce Separate Property: Applies in case of divorce.
- Full Separate Property: Applies in both divorce and death scenarios.
- Combination Separate Property: Combines elements of divorce and full separate property.
You can designate separate property over:
- All assets you own
- Specific assets, such as a vacation home
- A portion of your total assets, like 1/3 of a house
- Inherited or gifted assets
You can also specify a sum of money as separate property, such as a portion of total assets or tied to specific assets like a house.
CREATING A PRENUPTIAL AGREEMENT
Drafting a prenuptial agreement requires careful consideration to avoid misunderstandings or disputes. Seek guidance from a lawyer to ensure the agreement aligns with your goals and financial situation.
For expert advice on drafting a prenuptial agreement tailored to your needs, contact a lawyer from ZT Legal Group.
