Because money and assets are not always the most important aspect of a relationship, there are many situations in which a New Jersey resident with considerable wealth may marry someone who is not as wealthy. In such situations, however, it may be prudent for the parties to create a prenuptial agreement. These agreements can help protect assets in the event of a divorce.
After marriage, certain wealth and assets that are accrued may be considered marital property. As a result, these assets could potentially be divided between the individuals if they decide to divorce. If a prenuptial agreement is in place, however, individuals may be less likely to lose a considerable amount of their assets if they are already protected by the agreement.
These agreements can also be beneficial if one party has more debt than the other. By addressing this situation in a prenuptial agreement, an individual may be protected from possibly having to take responsibility for the debt accumulated by his or her spouse. As a result, the party who accrued the debt would be held accountable for paying back that debt, and the former spouse would not have to deal with that burden.
Many parties may think that prenuptial agreements only serve one purpose, but these agreements can address many aspects of marriage in the event of divorce. From property division to alimony, having these agreements in place can potentially save time in the future if a New Jersey couple decides to separate. Information on creating a prenuptial agreement may help concerned parties to protect assets and come to terms on other marital and financial issues.
Source: The Huffington Post, “Everything You Need To Know About Prenups“, Ivy Jacobson, June 1, 2015