Many people have heard of prenuptial agreements which allow people who going to get married to decide what will happen in the event of a divorce. If you are already married, it is not too late to enter an agreement with your spouse regarding what will happen in case of a potential separation. A postnuptial agreement is a great way to resolve some of the issues that may come up during a divorce ahead of time.
What is a postnuptial agreement, and why would I consider signing one with my spouse?
A postnuptial agreement is similar to a prenuptial agreement except it occurs after the parties are already married. The primary disadvantage of a post-nuptial agreement compared to a prenuptial agreement is that the agreement will not cover the time that the parties have been married prior to the execution of the agreement.
Many people believe that prenuptial and postnuptial agreements are primarily for extremely wealthy people. However, the use of prenuptial and postnuptial agreements is becoming more common for individuals with average to moderate income. Here are some examples of what a postnuptial agreement can be used for:
- To protect business assets
- To decide who gets a pet in the event of divorce
- To decide how much maintenance a spouse will receive in the event of a divorce
- Estate planning issues such as how trusts or inheritances will be handled
There are many reasons people decide to get a postnuptial agreement. One may be that they realize that they need to protect assets such as a business, but it is too late for a prenuptial agreement because they are already married. Many people experience changes in their financial situation during marriage and may decide to get a postnuptial agreement so that they can worry less about what will happen if they experience divorce.
Many people do not want to sign a prenuptial or postnuptial agreement because they feel that doing so would mean that they don’t believe their marriage will work out. However, this type of agreement can actually provide a feeling of security in marriage because the couple doesn’t have to worry about the uncertainty of what will happen if they get divorced. A prenuptial or postnuptial agreement can save a lot of time, stress, and money in the event of divorce. Another advantage is that spouses can discuss what will potentially happen in a divorce while they are calm and getting along rather than when they are arguing and dealing with stress and anger.