It can be challenging for newly engaged couples in California to focus on the pragmatic side of their future marriage, like discussing finances. While it may not be the most comfortable thing to do, focusing on the benefits of discussing finances early on in the relationship can help a couple address these topics.
A prenuptial agreement gives the couple the opportunity to put a customized agreement in place that will protect both of them if they decide to divorce in the future. It usually lays out how assets and liabilities are divided if the marriage ends. Having this agreement in place can prevent lot of frustration and arguments later on. It can also save them money.
It is beneficial for a couple to discuss a prenuptial agreement and other financial matters as far in advance of the wedding as possible. It will help them to be on the same page as to what they are expecting out of their financial partnership. It will also allow them to discuss how they intend to manage finances after they are married.
Prenuptial agreements are tailored to each person’s concerns. They will usually lay out what assets will be looked at as separate property and how marital assets will be divided. It will take into consideration business interests, inheritances, family trusts and other gifts.
In order for a prenuptial agreement to be legally binding, it is necessary to make mutual financial disclosure and to be sure that the agreement is translated into a spouse’s first language if it is different than the language of the prenuptial agreement. If the couple plans to move to a different state after getting married, an attorney in their new state may review the agreement to make sure that it complies with local laws. An attorney may provide other information about property division, spousal support and matters that relate to high-asset divorce.