Should I Get a Prenup to Protect My Net Worth and Future Earnings?

Congratulations on your engagement! As you plan your wedding and look forward to building a life together, it’s natural to start thinking about your long-term financial future as well.

One question we often hear from engaged couples at our family law practice is whether they should get a prenuptial agreement (or “prenup”) to protect their assets and future earnings.

While bringing up the topic of a prenup can feel unromantic or even a bit taboo, we’ve seen firsthand how having this open and honest discussion early on can actually strengthen a marriage by ensuring both partners are on the same page.

What Is a Prenuptial Agreement, and Why Should You Consider One?

At its core, a prenuptial agreement is a contract a couple signs before getting married that spells out what will happen to their assets in the event of a divorce. It’s a way to put your own plans in place for the future rather than defaulting to your state’s laws, which may or may not align with your wishes.

A typical prenup covers things like:

• How assets owned by each partner before the marriage (known as separate property) will be treated
• How assets acquired during the marriage (marital property) would be divided in a divorce
• What will happen to any debts either partner brings into the marriage
• Whether either spouse will receive alimony (spousal support) and in what amount
• Each partner’s inheritance rights
• How business interests will be handled

One common misconception is that prenups are only for the wealthy. In reality, couples from all walks of life can benefit from having these important conversations and putting a plan in place. Whether you’re just starting out or well-established in your career, a prenup can provide valuable peace of mind.

Protecting Your Future with a Prenup

Another question we hear a lot is whether a prenup can cover future assets and income – and the answer is yes! In fact, safeguarding your future earning potential is one of the most valuable things a prenup can do.

Let’s say you’re midway through medical school and planning to open your own practice someday. Or maybe you’ve just landed your dream job with major promotion potential. A well-drafted prenup can ensure that the assets you acquire through your hard work – whether that’s a professional degree, a business you start, or a major salary increase – remain yours in the event of a divorce.

Common ways prenups can protect future assets include:

• Specifying that each spouse’s future income will remain their own separate property rather than marital property
• Ensuring an anticipated inheritance or gift will not be subject to division
• Outlining how profits from a business started after marriage will be treated
• Detailing whether either spouse can claim a share of the other’s future professional licenses, degrees, or earning capacity

Of course, no one can predict the future with 100% accuracy. Your life may take unexpected turns, and your financial picture could look very different in a few decades than it does today. That’s why it’s so crucial to work with an experienced family law attorney who can craft a prenup with the right balance of thoroughness and flexibility to stand the test of time.

Is a Prenup Right for Your Situation?

Every couple’s circumstances are unique, but there are some common scenarios where we often advise considering a prenup:

1. One or both of you is bringing significant assets or debts into the marriage
2. You or your partner owns a business or professional practice
3. You expect to receive a substantial inheritance down the line
4. This is a second marriage for one or both of you
5. You have children from a prior relationship
6. Your earning potential is much higher than your partner’s
7. One of you plans to make career sacrifices, like becoming a stay-at-home parent
8. You live in a community property state where marital assets are split 50/50 in divorce

But beyond these specific situations, a prenup can be valuable for any couple who wants to be proactive about planning for their financial future together. It’s a way to make sure you’re both on the same page about your priorities, goals, and expectations around money. And it can actually take a lot of pressure off your marriage to have these discussions upfront rather than waiting until conflicts arise.

The Netsquire Approach

At Netsquire, we know that the idea of a prenup can be emotionally charged. Our goal is to make the process as smooth, comfortable, and productive as possible for every couple we work with. Here’s what sets our approach apart:

• Transparent flat-fee pricing so you’re never surprised by the cost
• A collaborative, guided process where we work closely with both partners
• Comprehensive agreements tailor-made for your unique needs
• Responsive, empathetic service to answer all your questions

We don’t believe in cookie-cutter prenups. We take the time to really get to know you and what matters most in your life so we can craft an agreement that truly reflects your values and goals. Whether your priority is protecting your business, providing for children from a prior marriage, or ensuring you can pursue your career dreams without fear, we’re here to help you create a prenup that covers all the right bases.

Considering a Prenup? Get Clarity and Confidence with a Consultation

Still not sure if a prenup is the right move for you and your future spouse? We get it. Ultimately, only you can decide what makes sense for your relationship. But if you’re considering it or have questions, we invite you to reach out to us for a consultation.

Our team of experienced family law attorneys is here to walk you through your options, learn about your unique priorities, and help you weigh the potential benefits.

Remember, signing a prenup doesn’t mean you’re planning for your marriage to fail. Quite the opposite – it means you’re being intentional about building a strong foundation and shared understanding from day one. With the right plan in place, you can move forward into this next exciting chapter with clarity, security, and,most importantly, peace of mind.