Before walking down the aisle, many couples draft a prenuptial agreement to protect their investments, property, and assets. Contrary to popular belief, prenuptial agreements are not just for the wealthy elite. Regardless of income level, the assets you’ve acquired before and during your marriage are worth protecting. Such agreements not only explicitly specify each spouse’s financial responsibility, but also guard you and your spouse from each other’s debts. In this blog, we share a few of the important line items that should be included in a prenuptial agreement.
Before marriage, you’ve spent your lifetime acquiring assets, property, and debts. These investments and financial obligations are known as “premarital assets.” Examples of premarital assets can range from brokerage accounts and stock options to cars and valuable jewelry. Before entering the prenuptial agreement, be sure to make a list that outlines your assets and debts. Many couples avoid discussing finances in an effort to circumvent a potentially awkward and uncomfortable conversations, but being honest and straight forward about money is good practice for the future.
Is there a difference in spending styles between you and your spouse? Some people are spenders, while others our savers – these differences can impact the financial responsibility each spouse has. If you’re more of a spender, you can assume the responsibility of paying house bills while your partner can oversee checkbook handling and long-term financial goals.
Marital property refers to anything you and your spouse have gathered during marriage. You and your spouse need to decide if the assets will be owned equally or if there is another arrangement that best suits your needs.
Under the Colorado Marital Agreement Act, you are not obligated to hire an attorney to prepare a prenuptial agreement, at Karin Johnson Chatfield LLC, we strongly suggest that you do. Our Denver family attorney will walk you step-by-step to draft a prenuptial agreement that won’t leave your future in jeopardy.