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Understanding what a prenup does

North Carolina couples who are planning to marry might be interested in learning more about prenuptial agreements. Although many people associate them with the very rich, that is not always the case. People who have a lot of debt sometimes use prenuptial agreements too, as well as individuals who have adult children, are marrying a second time and want to use it to help facilitate estate planning.

Nevertheless, they can be useful for people who own a business or have significant assets and want to protect themselves financially from a gold digger who might be after their money. Prenuptial agreements are legal contracts that a couple creates and puts into effect before they marry. As contracts, they outline how a couple will divide any assets or debts specified in the document if they divorce.

Although a prenuptial agreement can contain a waiver of alimony in the event of a divorce, the law does not allow it to specify child support or custody of any children born to the couple. It also would not cover personal behavior.

Although some couples do not find the idea of a prenuptial agreement that contemplates how they will handle financial matters if they divorce to be very romantic, experts say it can it can help them find out if the person they plan to spend forever with can discuss any issue with them openly and honestly. Experts also say that couples should work on a prenuptial in an unhurried way well in advance of their wedding date. That would help to avoid pressure and ensure that both people fully understand the agreement.

Because it is a legal document, it is important to get it right. A family law attorney could help by drawing up the prenuptial agreement.

Source: The Huffington Post, "Unpacking Prenuptial Agreements", Caroline Choi, February 04, 2014

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