Traditionally, prenuptial or antenuptial agreements, popularly known as prenups, were a vehicle by which a wealthier spouse could protect his assets and income in the event of his death or divorce from a less wealthy spouse. And that kind of prenup is still made.
These days though, neither spouse entering a prenup is necessarily particularly wealthy, but one or both typically does have some assets and some other heirs whose interests they want to protect.
Most often there are significant retirement interests, maybe a premarital home, maybe a premarital inheritance … and children from a previous marriage or relationship.
And contemporary spouses are equally concerned about and want to protect against the possibilities of death or divorce.
Sometimes prenups also lay out the financial ground rules for the upcoming marriage, such as how common expenses will be paid.
The agreements also set out how assets will be valued from a divorce perspective.
Read more in this Wall Street Journal article: A New Way to Use a Prenup .