Prenuptial agreements and millennials

San Jose millenials might be more likely to create a prenuptial agreement before they get married than their parents were. People are getting married later in life, and they tend to bring more assets and debts into the marriage. Around 80 percent of people were married by the age of 30 in the 1970s while in 2016, this same percentage was true of 45-year-olds. People in their 20s and 30s also think it is more important to be financially secure before they get married. There are also more women working outside the home with only 14 percent staying home full time in 2016 compared to 43 percent in 1975.

One couple decided to create a prenup because of their different attitudes about and approaches to money. One had carefully saved for retirement while the other took on debt to launch several businesses. A prenup may also protect couples from one another’s debt load. New college graduates have an average of more than $30,000 in student loans. People may also have prenups for more traditional reason such as one man whose agreement will protect his family’s business in case of divorce.

Postnuptial agreements are another possibility. For example, one couple decided to create a prenup after they began buying rental properties.

These types of agreements may be particularly helpful in a community property state like California since in a divorce, marital property is generally divided 50/50 by the court . However, it is important that the prenup or postnup is properly prepared. For example, both parties need to receive sufficient legal counsel from separate attorneys.