Many couples choose to forego the benefits of drafting a prenuptial agreement before getting married and working to merge their financial stability. While this pre-marital contract can help both parties clarify the various assets, property and debts they are independently bringing into the relationship, the couple might not feel one is necessary. However, once into the marriage, the couple might reflect on their financial circumstances and realize having a legally binding document in place is a good idea.
While a prenuptial agreement is drafted prior to the marriage, the couple can choose to create a postnuptial agreement once they are married. Every divorce carries unique financial circumstances, but there are numerous common reasons a couple might choose to draft a postnuptial agreement, including:
- Lack of a prenuptial agreement: Even though the negative social stigma has diminished, some couples might ignore the need to draft a prenup. Upon further reflection, some couples realize that a marital contract is necessary.
- One spouse forms and runs a business: The postnuptial agreement can help solidify finances and protect the company and any business partners.
- Financial circumstances do not remain static: From pursuing a new career with better compensation to becoming financially irresponsible, the dynamics of a couple might dramatically change. It’s important to reflect these changing circumstances in the marital contract.
Typically, the postnuptial agreement can be as general or detailed as the couple would like. The document will be tailored to the unique circumstances that affect each individual. Whether the couple ran out of time prior to the marriage or didn’t feel that a prenuptial agreement was necessary, they can still draft a marital contract even after the wedding. When divorce becomes a reality, the couple can use the information in the postnuptial agreement to avoid disputes during the property division process.