When you hear the term “prenuptial agreement,” there is a good chance you think about a high-net worth couple looking to protect financial interests and holdings. Even if the couple has not accumulated a significant amount of wealth, a prenuptial agreement may still be used in situations where one or both spouses own a business or a portion of a business. There is, however, another very common scenario in which a prenuptial agreement is, at the very least, a good idea if not indispensable. A prenuptial agreement can be used to protect the rights of children from a previous relationship for both you and your spouse.
The average age at which Americans marry for the first time continues to rise to record levels. This, combined with the increasing number of second and third marriages, means that couples are bringing more of their individual lives with them when they marry. Each spouse, on average, has had more time to pursue business interests and accumulate wealth, for example, than they may have had a generation or two ago. As such, prenuptial agreements are also becoming increasingly common, as individuals seek to protect specific assets or interests in the event the marriage fails.
In the world of celebrities and millionaires, in which whirlwind romances (and splits) are par for the course, prenuptial agreements find themselves at the center of focus for many couples. These contracts help decide who gets what, and when they may receive it after a divorce.