No married couple wants to imagine that their loving union will one day end in divorce. However, that is a possibility for many couples, so having the right protection is key should the marriage end.
Devising a solid postnuptial agreement ensures you have a strategy in place for financial issues related to divorce. Here are some key facts to consider about these documents and how they can benefit you.
What are postnuptial agreements?
While similar to prenuptial agreements, couples create postnuptial agreements after the marriage has already taken place. These documents dictate common financial decisions that arise after divorce. This can include things like asset division, such as which spouse gets property like houses and vehicles.
Postnups can also set rules about alimony, including which spouse is responsible for paying the other. They cannot dictate decisions about child support, as the court determines what amount of support is necessary. Additionally, couples cannot include enforceable clauses related to things like domestic work or other household issues.
What benefits do they offer couples?
Postnups ensure that financial decisions have a framework in the event of divorce. This can save both spouses time and money when it comes to hashing out divorce terms. It also ensures that both you and your ex-spouse receive fair treatment, since you must collaborate with your partner to devise the agreement.
They even benefit couples while they are still married. By having tough financial conversations, you can come to an agreement with your spouse and set expectations for the future. These documents can also provide peace of mind if one spouse intends on starting a business during the marriage and wants to retain full control over it in the event of divorce.