The main difference between a prenuptial agreement and a postnuptial agreement is the timing of when they are made. A prenuptial agreement is made before a couple gets married, while a postnuptial agreement is made after a couple is already married.
A prenuptial agreement, also known as a premarital agreement or prenup, is a legally binding agreement that is made by a couple before they get married.
The most common reasons why you should get a prenup are if you have significant assets, income, or children from a previous marriage.
The purpose of a prenup is to define the financial and property rights of each spouse in the event of a divorce or the death of one spouse.
They can cover a wide range of potential sticky issues like:
- Protection of premarital assets
- Division of assets
- Property ownership
- Business ownership
- Division of debt
Prenups must meet certain legal requirements in order to hold up in court. For instance, infidelity clauses and anything related to child custody and child support won’t hold up in divorce court.
There are two parts to getting a prenup. First, it is having the conversation and getting on the same page as your significant other on what should be in the prenup.
Then, you need to go through the legal process of getting it drafted and filed. For this part, it is a good idea to consult with a lawyer to ensure that your prenup is properly drafted.
On the other hand, a postnuptial agreement, also known as a postmarital agreement, is a legally binding agreement that is made by a couple after they are married.
Like a prenup, a postnuptial agreement is used to define the financial and property rights of each spouse in the event of a divorce or the death of one spouse. It can cover all of the same things as a prenup.
The most common reason for a postnuptial agreement is to make changes to financial arrangements, often because of a significant financial event.
Just like with prenups, we recommend consulting with an attorney when drafting one.