When Should We Consider A Prenuptial Agreement?
Prenuptial agreements offer several important benefits for couples in Florida. The following scenarios illustrate the various benefits couples can gain from a properly drafted and executed prenuptial agreement.
One party has significantly more assets
While this is probably the most common reason that an individual would seek to obtain a prenuptial agreement, in actuality, both spouses can benefit. For example, a prenup can streamline the divorce process, thereby saving substantial litigation costs, including exorbitant monetary expenses and the accompanying emotional toll. Furthermore, a prenuptial agreement also provides for financial certainty in the event of a divorce.
Either party Wants To Protect Future Assets
Without a valid prenuptial agreement, Florida Law generally presumes that any property acquired during the marriage is subject to division in a divorce. However, at Novak & Novak P.C., our attorneys have devised strategies and customized our prenuptial agreements to cover assets acquired before and specifically during marriage.
That being said, for the inexperienced, this can be a precarious area of law. At Novak & Novak P.C., with 30 years of combined experience, we can help you obtain a prenuptial agreement that will protect your future earnings and any assets that you may acquire in the future. While there are exceptions to the above, and there are guidelines one must follow, with our advice and counsel, we help you achieve your goal of obtaining a valid and enforceable prenuptial agreement to protect the assets that you acquire after the date of the marriage.
Protect Your Pension & Retirement Funds
Without a valid and enforceable prenuptial agreement, in the event of a divorce, people are often surprised when they discover that they can lose up to half their pension to their divorcing spouse. That is, under Florida law, without a prenuptial agreement, the entire amount of a retirement account that accrues as marital property could be split equally (e.g., 50/50) by a divorce court.
However, being proactive with a prenuptial agreement can protect your hard-earned retirement funds in a divorce. At Novak & Novak P.C., we can draft a prenuptial agreement delineating that each spouse’s retirement fund shall be kept separate before, during, and after the marriage. Specifically, if you desire, we will designate 100% of a spouse’s retirement funds as the separate property of said spouse.
Do not take any chances when it comes to protecting your retirement benefits. Only hire a qualified Florida attorney to draft your prenuptial agreement.
What About a 401K?
In the state of Florida, contributions and the appreciation of 401k plans are not protected in a divorce without a prenuptial agreement. Therefore, at Novak & Novak, we can protect a 401k via a customized prenuptial agreement tailored to each client’s needs. Your contributions and the appreciation of your 401k can be protected with a well-drafted prenuptial agreement.
Your Fiancé has significantly more debt
If one spouse has significantly more debt than the other, that issue should be thoroughly addressed via a prenuptial agreement. Typically, premarital debts are the responsibility of the party that incurred them.
For couples that do not obtain a prenuptial agreement, debts incurred while married can be shared between the spouses. This allocation can place the non-indebted spouse at an obvious disadvantage in the event of a divorce. At Novak & Novak P.C., we can draft a customized prenuptial agreement, as per Florida law, to prevent this outcome and address all debt-related issues between spouses.