A prenuptial agreement is a contract between spouses-to-be in which they determine how their assets are to be divided in the event they divorce. While talking about divorce can be an uncomfortable topic for a couple who hasn't even yet walked down the aisle, the conversation is an important one, and designing a prenup together is simply a protective measure. Below, learn some essential information to know about these crucial documents.

Understanding Prenuptial Agreements

You're Avoiding Conflict Later

It's no secret that divorces can easily become messy, painful experiences full of recriminations and anger. Much of that discord revolves around the equitable distribution of the couple's assets. With a prenuptial agreement in place, you are avoiding much of this conflict if the relationship doesn’t work out.

The terms of the divorce have been agreed upon long ago, and both spouses have already given their consent to how their property is to be divided. Not only does this make the entire experience easier on both parties, but it streamlines the process and makes the divorce conclude much faster.

Both Parties Need to Disclose All Assets

A prenup is also an opportunity for a couple to have an honest discussion about finances. They will need to disclose all assets and share information about all the debts each is bringing into the marriage.

Premarital assets—those owned prior to the marriage in the name of one spouse only—will likely remain the property of that spouse, but both parties should know of the existence of such assets.  Also, you can assign premarital debts prior to exchanging vows. Basically, you can say that the debts brought into the marriage by each party will remain with that party after the marriage—unless, of course, the debt is paid off.

Include Alimony in Your Prenup

The subject of alimony is often a contentious one in a divorce, and it's one of the more awkward subjects to navigate when talking about a prenup. But if alimony is not decided on beforehand, either spouse can pursue it from the other during the divorce, which can make the situation very difficult to navigate.

It’s crucial to have that conversation as soon as possible. If you want to waive alimony, write a statement declaring so into the prenup. If you can agree that one spouse deserves a certain level of financial support in the event of a divorce, include the details in the prenuptial agreement.

Spouses-to-be can head to a document preparation service to draft up the details in a prenuptial agreement. The team at We The People of NY can help. They have been providing document preparation services to residents in Manhattan and the surrounding boroughs since 2006. In addition to prenups, they handle simple divorce, will and living will, and bankruptcy filings, among many other services. Call (212) 633-2200 to schedule an appointment or visit them online to browse their services.