Why are more couples getting prenuptial agreements?

Prenuptial agreements kind of have a bad reputation. Many engaged couples see a prenuptial agreement as dooming their marriage before it begins – as a way of admitting the marriage won’t last. Yet, in recent years, more and more couples, 62 percent more, are seeking prenuptial agreements, especially millennials.

Why is that the case? Largely, because more couples are seeing the benefits of a prenuptial agreement and why they might need one. These include the following factors:

1. Couples are marrying later in life. The bride-to-be already may own her own home and have significant retirement savings she wants to protect. The same could be true for the groom-to-be.
2. Entrepreneurs and business owners want to protect their business or intellectual property. With the tech boom, many younger people have launched startup businesses or have intellectual property that’s valuable. A prenuptial agreement is the best way to protect the value of those assets from being divided in divorce. Also, if you help run a family business and may take it over someday, having a prenuptial agreement will protect that business and its assets if you get divorced.
3. Couples who remarry may want to protect their children from a previous marriage. With a prenuptial agreement, you can protect more of your assets that you may want to pass on to your children from a previous marriage.
4. Couples may want to shield themselves from each other’s debts. It’s no secret that financial problems often lead to divorce. So, if groom-to-be wants to avoid taking on his shopaholic spouse’s credit card debt, a prenuptial agreement can do that. Also, if one spouse has considerably more student loan debt, a prenuptial agreement can lay out who will be responsible for it in divorce.
5. Couples with largely unequal income or assets may want a prenuptial agreement. If you have significant assets, such as an inheritance or trust fund, or a much higher income than your fiancé, a prenuptial agreement can protect some of that if you get divorced.

A family law attorney can help you draft a prenuptial agreement that is fair, is in your best interests and is legally enforceable. You likely will be thankful later if you do face divorce. Your prenup will help make asset division easier and less emotional and stressful.