Things to Know When Considering Alimony in a Prenuptial Agreement

Introduction: Alimony May Be Included in Prenuptial Agreements

Prenuptial agreements are, in many ways, just ordinary contracts. As such, prenuptial agreements are viewed and treated like ordinary contracts by the legal system. This runs contrary to the perception held by many people in the general population in Maryland. Many Marylanders think that prenuptial agreements are “special” in some way, and that they are altogether different from other contracts. This is simply not the case. Furthermore, prenuptial agreements are not “tools of the wealthy”; they are agreements which can yield benefits for nearly every couple.

The fundamental goal of prenuptial contracts is not to “selfishly guard assets,” or deprive the other party of his or her fair share of the marital estate. Although prenuptial agreements can be used to protect certain assets, the basic goal is to remove the courts from making certain determinations. In other words, the purpose of these contracts is to resolve certain issues privately, between the parties, so as to avoid court involvement and the possibility of litigation. When things are decided by the courts, things often become quite expensive, and one party frequently ends up being disappointed.

As with other contracts, parties have a great deal of leeway when it comes to the things which may be included in a prenuptial agreement. Certain things cannot be included – such as child support – but most other things can be. Spousal maintenance, or “alimony,” is something which can be included in a prenuptial agreement, and is often included.

Should you include provisions for spousal maintenance in your prenuptial agreement? Should you include a provision which removes the possibility of maintenance altogether? Let’s look at a few of the considerations which should go into this type of analysis.

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Key Considerations for Including Alimony

When you think about whether to include alimony in your prenuptial agreement, one of the primary things you need to keep in mind is your likely future financial condition. In other words, you need to consider what your financial condition is likely to be down the road, because your financial condition heavily impacts your ability to provide maintenance, and also your need to receive it.

If you decide to include alimony in your agreement, you can be either the payor (i.e. the party who makes the payment) or the payee(the party who receives the payment). Obviously, whether you are the payor or payee comes down to the negotiation process involving you and your future spouse. To conduct that negotiation process properly, you need to have a reasonably clear sense of your future financial condition. If you strongly believe that you will need alimony after your divorce – and, ideally, you have documentation or other evidence to support your belief – then you should make this position clear to your spouse. If you believe that you will likely be able to support an alimony payment to your spouse, then this is also highly relevant when it comes to the negotiation process. The bottom line is that you need to have a very accurate idea about your current and future financial condition in order to make a proper decision regarding alimony in your prenuptial agreement.

Parties need to be aware that, if they include alimony in their prenuptial agreement, this provision will be binding. If you identify as the payor, you will be legally required to make the payments, and you can face consequences if you fail to perform. If your financial circumstances change in an unforeseen manner after your divorce, you may be able to modify your alimony obligation; but, modifying an obligation is also a cost of itself, and this is something you need to consider from the outset.

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Contact the Murphy Law Firm to Learn More

If readers want to know more about prenuptial agreements, spousal maintenance, modification of spousal maintenance, including spousal maintenance in prenuptial agreements, or another related topic, contact one of the family law attorneys at the Murphy Law Firm today by calling 240-219-5243.

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