While couples are planning a wedding, a prenuptial agreement may not be at the top of the list of things to discuss. However, it is an important document for them to consider putting in place. This agreement can provide couples with protection in the future.
Prenuptial agreement overview
There are several important items to include in the agreement. One is outlining the assets and liabilities each person will bring into the marriage. It is helpful to complete a full financial disclosure that lists any real estate, investments, retirement accounts and any other assets. They should also list any debts, called liabilities.
The prenuptial agreement should address how property will be divided in the event the couple divorces or separates. They may choose to split the assets evenly or designate which spouse would receive each asset. This may include their home, cars, personal property or any other property they acquire during the marriage.
It should also include how they will divide debt if they divorce or separate. This may include credit card debt, student loans or a mortgage, to name a few examples.
In Virginia, the prenuptial agreement must be in writing and signed by both parties. Both parties must enter into the agreement voluntarily and there must be no coercion, duress or fraud.
The terms of the agreement must be fair and reasonable to each party at the time it is signed and when it is enforced. It also cannot be used to decide issues related to child support or child custody.
These are only some requirements that may apply. The prenuptial agreement needs to be drafted correctly.