The last thing that most Michigan couples want to talk about when they first get engaged is finances. However, discussing a variety of financial matters allows engaged couples to get on the same page when it comes to how they will use their money when they are married and what will happen to their assets if they get divorced.
Money matters cause many married couples to get divorced. If a couple can discuss finances early on in their relationship, they will be setting expectations that both can look forward to in their new financial relationship. Discussing a prenuptial agreement can help couples determine how they could split their assets if they decide to divorce in the future. It basically allows them to come up with a customized agreement that will be fair for both of them.
Without a prenuptial agreement, a judge will decide how assets and liabilities will be divided during the divorce process. This can cause a lot of stress and may even leave a person financially devastated. When couples have prenuptial agreements, everything concerning their financial life and the confidentiality of it are laid out in the agreement.
It is especially important for business owners to determine how much of the business will belong to the spouse in case of a divorce. A future divorce could even affect others who share ownership of the business, which underscores the importance of a prenuptial agreement.
The earlier a couple can discuss prenuptial agreements and sign the papers, the more protected they will be. The closer the wedding date gets, the more likely it is that a court could argue that a person’s prenuptial agreement is not enforceable because they signed under duress. A lawyer may work with an engaged couple to draw up prenuptial agreements that are fair and take into consideration all of their assets and liabilities.