In Florida, a prenuptial agreement is also known as a “premarital agreement.” It is a contract signed by a couple before their wedding day, outlining how they will handle specific financial situations that may arise during their marriage. Premarital agreements are beneficial in many circumstances, such as when a couple has children from previous marriages or when one or both partners have significant assets. Below, we discuss the advantages of creating a premarital agreement and the items you should include.
Advantages of Premarital Agreement
Premarital agreements guide you on dividing marital property while protecting a spouse’s rights. This reduces conflict with each other and other family members during a stressful time. Premarital agreements help resolve disputes relating to marital assets, finances, and other situations before they happen. Couples that have spent decades establishing their estates will find premarital agreements beneficial. They also help couples who have obtained a large amount of debt before marriage navigate how to make payments in the future.
What to Address in Your Premarital Agreement
Here are the most important topics you should include in your premarital agreement:
Shared Financial Responsibilities
Shared financial responsibilities are one of the most important items to include in your premarital agreement. You and your partner should discuss how you handle financial situations in marriage, such as paying off debt, contributing to retirement accounts, creating joint bank accounts, and managing business affairs. In the event of a divorce, you’ll want to set terms for spousal support payments (also called alimony). This section could also discuss who will file tax returns, pay bills, or provide health insurance.
Work Expectations
It’s crucial to discuss how you plan to balance your work and family responsibilities, such as who will work outside the home or stay home to care for loved ones or raise children. If one spouse is a business owner, it’s important to address the new spouse’s level of involvement and ownership in the company.
Asset Division
When creating a premarital agreement, it is essential to address the division of marital assets (property and possessions obtained during the marriage) in case of a divorce. In Florida, marital assets are distributed based on equitable distribution, ensuring that both spouses receive a fair share of the assets. Outlining who should receive marital property like real estate, pets, gifts, and family heirlooms according to your preferences is one of the most important items to include in your premarital agreement.
Creating Premarital Agreements in Kissimmee, Florida
A legally binding premarital agreement in Florida must be in writing and signed by both partners in order to be legally binding. It must be created voluntarily, without any threat or coercion. Emotions can be elevated when creating a premarital agreement. However, these agreements are designed to have couples go into marriage on the same page regarding the financial aspects of their relationship. A family law attorney, like Kathy D. Sheive, can assist in drafting your premarital agreement. If you’re in Osceola or Polk counties and need help navigating the divorce process, our office is here to help. To get started, call us at 407-315-2268 or email us for a discounted evaluation.