10 Topics That Should Be Covered In Your Prenuptial Agreement
A prenuptial agreement is a written contract that couples sign before getting married, outlining how they will manage their finances. While often misunderstood, a prenuptial marriage agreement isn't just for the wealthy; it's a practical tool that helps protect both parties, clarify financial expectations, and reduce future conflict.
Many couples hesitate to bring up a prenup out of fear that it will cause tension or seem like a lack of trust. But avoiding the conversation can lead to greater uncertainty down the road. When approached thoughtfully, a prenup can strengthen the relationship by fostering transparency and planning.
This blog covers ten key topics every couple should consider including in their prenuptial agreement to ensure it's fair, transparent, and tailored to their needs.
What is a Prenuptial Agreement?
In California, a prenuptial agreement (or premarital agreement) is a legal contract that two people sign before getting married. It sets out each person’s rights and responsibilities for property, income, debts, and other finances if the marriage ends in divorce or death. It allows couples to override certain default rules under California’s community property system by agreeing in advance how they will handle assets and liabilities.
To be valid and enforceable in California:
- Both individuals must sign a written agreement before getting married.
- Each party must provide a complete and honest disclosure of its financial details.
- Each party must enter the agreement voluntarily, without pressure or coercion.
- The agreement becomes effective only upon the couple's legal marriage.
- Legal professionals strongly recommend that each person hire separate counsel, mainly when the agreement includes spousal support provisions.
Couples sign
prenuptial agreements before marriage, while they create
postnuptial agreements after getting married to serve a similar purpose. Both can address many of the same issues, such as property division and debt responsibility. California courts scrutinize postnups more closely and hold them to a higher standard of fairness and disclosure.
Pros and Cons of Creating a Prenuptial Contract
A prenuptial contract offers several legal and practical benefits, but it also has limitations that couples should weigh carefully before moving forward.
Pros
- Identifies Financial Duties and Ownership Rights
A prenuptial contract spells out how both spouses will manage assets, income, and debts during the marriage, reducing confusion and the risk of future disputes. - Protects Separate Property
The agreement allows each spouse to protect assets they owned before the marriage, including businesses, investments, or inheritances, from being classified as shared property. - Supports Estate Planning
Couples use prenuptial agreements to complement their estate plans, ensuring that children from previous relationships or family heirs receive designated assets. - Reduces Legal Conflict in Divorce
By resolving key issues in advance, couples simplify the divorce process, reduce legal costs, and avoid unnecessary litigation. - Overrides California’s Default Property Rules
Instead of relying on the state’s 50/50 division of marital property, a prenup lets couples create a more personalized and flexible arrangement.
Cons
- Emotional Sensitivity
Discussing a prenup can feel uncomfortable or even confrontational. Some may see it as a sign of mistrust, which can create tension before the marriage begins. - Potential for Unequal Bargaining Power
If one spouse has more financial or legal knowledge, they may draft terms that favor them, resulting in an unfair agreement and potential legal challenges later. - Limitations Under California Law
California courts may refuse to enforce specific terms, such as a spousal support waiver, if they find the terms unjust or if the agreement was signed under pressure. - May Not Address Future Changes
A prenuptial agreement may become outdated if the couple experiences major life changes. Unless the couple reviews and updates the agreement, it may no longer reflect their current circumstances.
A well-drafted prenuptial agreement can offer clarity and peace of mind. Still, it’s important to approach it with careful planning and professional guidance to ensure it reflects both parties’ interests.
10 Topics to Include in Your Prenuptial Agreement
An effective prenuptial agreement covers more than just who gets what. It provides structure for how couples will manage finances, property, and obligations throughout the marriage and in the event of separation or death. Below are ten essential topics every couple should consider when creating a prenuptial agreement.
1. Property and Asset Division
Use your prenuptial agreement to define which assets each spouse will keep as separate property and which will be shared. In California, most property acquired during marriage is community property.
2. Debts and Financial Obligations
Assign responsibility for existing and future debts clearly in your prenup. You can protect each spouse from becoming liable for the other’s student loans, credit card balances, or business debts. By setting these terms early, you reduce confusion and protect both parties from unexpected financial burdens.
3. Spousal Support
Use the agreement to clearly state whether either spouse will receive spousal support after divorce and to specify the terms. Set the amount, duration, or waive support. California courts will review these clauses to ensure that the terms are reasonable and voluntary for both parties.
4. Inheritance and Estate Rights
If you have children or wish to protect inheritances, include terms that support your estate plans. You can ensure certain assets go to children born outside the current marriage or specific beneficiaries. Match these terms with your will or trust for consistency.
5. Business Ownership and Interests
Clearly state how the agreement will address any business interests. If you own or expect to start a business, outline what claim, if any, your spouse will have. By doing so, you clarify ownership, prevent conflicts, and reduce the risk of disputes about the value of your business during a divorce.
6. Retirement Accounts and Investments
Specify how to handle retirement accounts and investments in your marriage. Decide whether you and your spouse will keep IRAs, 401(k)s, pensions, and other investments separate or share them. Set clear rules for contributions and how you will divide any growth in value.
7. Financial Responsibilities During Marriage
Set clear expectations for day-to-day finances. Decide who will pay household expenses, whether to use joint or individual accounts, and each spouse’s contribution to savings. Doing this helps avoid financial misunderstandings during marriage.
8. Real Estate Ownership
Explain how you will treat real estate owned before and purchased during the marriage. Clearly define who owns the home, who pays for what, and how you will split the property value if you separate. When one partner already owns a home, defining these terms helps prevent confusion and protect individual interests.
9. Children from Previous Relationships
Use your prenup to protect the financial interests of children from prior relationships. Preserve their assets or inheritance rights, and outline any agreed-upon responsibilities for support or education. While the agreement can’t set custody or child support terms, it helps ensure your children remain financially secure.
10. Dispute Resolution Methods
State how you want to resolve disagreements if you separate. Agree on using mediation, collaborative divorce, or arbitration instead of immediately going to court. This plan helps reduce conflict and keeps costs and stress down.
Importance of Working With a Prenup Lawyer
Working with a prenup lawyer ensures your agreement is valid, enforceable, and in compliance with California law. While online templates and samples may look convenient, they often miss critical legal requirements or fail to reflect your unique financial situation. A spouse or attorney can challenge a poorly drafted agreement in court or, in some cases, convince the court to throw it out entirely.
A skilled prenuptial agreement attorney helps you navigate complex legal issues, ensures both parties fully disclose their assets, and avoids unfair or one-sided terms that could put the agreement at risk. Each spouse should have independent legal counsel to protect their individual interests and prevent claims of coercion or misunderstanding.
Frequently Asked Questions About Prenuptial
What does a prenuptial agreement actually cover?
You and your spouse use a prenuptial agreement to set the rules for managing money, property, and debt during the marriage, and for dividing them if the marriage ends.
It can cover:
- Which assets remain separate property
- How to handle debts
- Terms for spousal support
- Rules around business interests, investments, and more
A prenup provides both spouses with clarity and legal protection while avoiding the pitfalls of California’s community property laws.
Is it smart to get a prenup before marriage?
Yes. A prenup is a smart and responsible way to plan.
It doesn’t mean you’re planning for divorce; it means you’re taking steps to protect each other and avoid future conflict. With clear terms in place, you reduce the risk of legal disputes and costly court battles later.
Who should consider a prenuptial agreement?
Anyone getting married can benefit from a prenup, but it’s essential for people who:
- Own a business
- Have significant assets or income
- Expect to receive an inheritance.
- Carry substantial debt
- Have children from a previous relationship
Can a prenup unfairly leave one spouse with nothing?
No. California law will not enforce a grossly unfair agreement.
Courts look closely at prenups that waive spousal support or create an extreme financial imbalance. If either spouse signed the agreement under pressure, without legal counsel, or without full financial disclosure, the court may set it aside.
To protect both spouses, each should have their own attorney and enough time to review and understand the agreement before signing.
Protect Your Future
A prenuptial agreement gives you peace of mind, legal protection, and financial clarity all before you say “I do.”
At Harris & McKeown Law Firm, we help couples in Southern California create fair, enforceable agreements tailored to their needs. Whether you need to protect your business, plan for your children, or outline financial roles in your marriage, we’re here to guide you through it.





