To Prenup or Not to Prenup?
For many people who are engaged and planning their wedding, the perfect venue, dress, and theme for their big day takes priority. They are planning one of the biggest days of their lives, where they will commit to each other and start a marriage, becoming one.
Given the notoriety that prenuptial agreements have gained, thanks to celebrities and the media, a couple who chooses to sign a prenuptial agreement goes into a marriage surrounded by negative connotations. But deciding to sign a prenuptial agreement is not about being selfish and keeping your assets to yourself, but rather about respecting and loving both yourself and the person you are committing your life to by imposing protections for yourself and each other.
“What is mine is mine and what is yours is yours” is the underlying sentiment of a prenuptial agreement. But as anything, an agreement is customizable to the desires of the couple.
A prenuptial agreement can include various provisions such as what happens if one spouse passes during the marriage, what happens if parties’ are divorced but one is a stay at home parent or is disabled during the marriage and can no longer work. It can also protect the parties from financial liabilities accrued before the marriage, with the most common being student loans, especially with what monies to use for repayment during the marriage. It can also be used to protect assets meant for children not of the marriage or relationship, granting that parent peace of mind knowing that the child would be taken care of.
Additionally, a party may have purchased property or another asset prior to the marriage with a family member or trusted third party that will now become the marital residence, but what happens then? The benefit of a prenuptial agreement is that when it comes to the marital estate, it helps diminish the “what happens now” should parties divorce.
A prenuptial agreement not only defines what each party has individually coming into the marriage, but also can define what counts as joint/marital property, which can be more inclusive than what is allowed under the Illinois Marriage and Dissolution of Marriage Act. It also helps couples really sit down and discuss their finances, which is never an easy conversation to have but helps create that transparency and sets expectations going into the marriage.
A prenuptial agreement is focused exclusively on the couple. Provisions regarding children born to the marriage or the parties and allocation of parental responsibilities or child support cannot be included.
Signing a prenuptial agreement prior to a marriage does not mean that either party is entering the marriage thinking the marriage will result in a divorce, but rather it is an agreement that protects each other from financial decisions that could prejudice the other as well as protecting each other’s assets.
This can allow the couple to enter the marriage financially sound and knowledgeable as both parties know going in, they are protected, for better or for worse, and can enjoy the wedding day and enter a responsible marriage.
Once a couple has decided to take the plunge and obtain a prenuptial agreement, there are several factors to keep in mind to ensure a the couple’s peace of mind. Some practical tips include that both parties have counsel to ensure not only the protection of finances, but the understanding of the terms as well as the rights and responsibilities of both parties entering into the agreement.
Additionally, with the stress of wedding planning, it is important to allow sufficient time for the preparation, discussions and negotiations of the terms to ensure there is not last-minute rush to execute or any unwanted pressure to sign, ensuring that the terms of the prenuptial agreement are fair, not unconscionable and, if need be, enforceable and in compliance with 750 ILCS 10/1 et. seq., the Illinois Uniform Premarital Agreement Act.
The Law Office of Erin M. Wilson is skilled at artfully crafting individualized prenuptial agreements to ensure that not only are the parties and their respective assets are protected but that the terms of the agreement accurately their goals. Contact The Law Office of Erin M. Wilson for a consultation to discuss your rights, responsibilities and how to ensure that what is yours, what is theirs and what is ours are defined to help start a financially sound marriage.
NOTICE: This blog is intended solely for informational purposes and should not be construed as providing legal advice. Please feel free to contact us with any questions you may have regarding this blog post.