Anyone who has watched American lifestyle programmes such as the international reality TV franchise Real Housewives will have heard of a prenuptial agreement. This legal document, drawn up by couples prior to their marriage, outlines how collective assets would be divided in the event of a divorce, and is often associated with the mega-rich who have considerable independent wealth and possessions to protect when marrying their intended. Prenuptial agreements typically include property, savings, investment profits, income, pension pots and business interests.

What is a prenuptial agreement?

Although prenuptial agreements are historically more commonplace in the USA, where they are recognised in all 50 states, their use in UK weddings is on the rise. Prenuptial agreements are not legally binding in the UK but ever since the iconic Radmacher-Grantino case they are becoming increasingly accepted in divorce proceedings, with judges often citing the document as mutual proof of intention when ruling on the division of assets.

Is it only the wealthy who use prenups?

Just as prenuptial agreements (or ‘prenups’) are spreading across the pond, they are also filtering down from the mega-rich to millennials. After centuries of being unable to support themselves, women in particular are increasingly motivated to protect their finances before tying the knot in order to ensure continued financial independence should their marriage fail. You do not need to earn or own a large amount of wealth to deserve the option to keep what is yours.

How do I put together a prenup?

If you are preparing to tie the knot, especially if not for the first time, contact financial planning experts to discuss the protection of your assets. They will outline the financial ramifications of getting married and advise you on your options for safeguarding personal elements of your estate such as family inheritance or money you have set aside for your children. You can then choose between drawing up a prenup with your partner or agreeing to joint ownership of your collective wealth. Whatever you decide, agreeing on how you want to share your money come relationship rain or shine will give you peace of mind when you are walking down the aisle.

Should you choose to co-sign a prenup, you will need to do this at least 28 days before your wedding to demonstrate that you have entered into the agreement willingly and with care. Don’t worry if you change your mind down the line – while you cannot amend a prenup, you can create a postnuptial agreement to supersede it.

Should I get a prenup?

Despite the fact that discussions around money and the potential dissolution of your marriage are far from romantic, it is important to iron out your rights to each other’s finances before tying the knot. Having the difficult conversations now means fewer financial disputes in the future and a less stressful relationship overall.

Common reasons for getting a prenup

Preserving your estate for your children

Do you have children from a previous marriage? With a prenup you can separate out any sections of your estate that you would like them to inherit directly, such as a lump sum of money or a specific piece of property.

Protecting your personal inheritance

Have you previously received a significant amount of money, perhaps from an ex-spouse or a family member? You will need a prenup should you wish this to be a personal rather than a shared asset.

Escaping existing and future debt

The last thing you want from a marriage is to be taking on someone else’s debt, or to be landed with their debt in the future from failed investments or a business effort that goes bust. Think carefully before putting your name against your partner’s assets.

Safeguarding family property and heirlooms

Precious objects and property can be named with a specific beneficiary in your prenup to keep them separate from the rest of your estate. This is useful if you would like family heirlooms to pass to certain family members.