You do not need to be wealthy to consider a prenup. In Wisconsin, a prenup is a marital property agreement that can help you and your future spouse define certain property and debt rights rather than rely only on default state rules.
When a Wisconsin prenup may make sense
You may want to consider a prenup if:
- You own a business or part of a professional practice.
- You want to preserve assets for children from a prior relationship.
- You have significant debt before the marriage.
- You expect to receive a large gift or inheritance.
- You own real estate, investments or other valuable property before the wedding.
Wisconsin generally excludes gifts from someone other than your spouse and property you inherit from property division. A prenup can also set expectations for how you will handle those assets and any related growth during the marriage.
What can a prenup address?
Wisconsin law lets spouses use a marital property agreement to change some property rights. An agreement can identify separate property, or assets that one spouse keeps individually, and state how assets or debts will be handled during the marriage or if it ends. However, an agreement does not always prevent a lender or other creditor from pursuing payment on an existing debt.
What makes a Wisconsin prenup enforceable?
For property division at divorce, Wisconsin law presumes that a written property agreement is equitable and binding. A spouse challenging the agreement must overcome that presumption by showing that it is inequitable.
Under Button v. Button, Wisconsin courts consider whether each person fairly disclosed their assets, debts and income, entered the agreement freely and voluntarily and whether the property terms were fair to each person. The first two factors are assessed when the agreement is signed. The third is assessed at signing and may be reassessed at divorce if circumstances change significantly and the agreement no longer reflects what the parties could reasonably have expected.
Before signing, gather records of your assets, debts and income and allow enough time for review. A court may also consider whether each person had independent legal counsel, meaning their own attorney, when deciding whether the agreement was voluntary.
Decide whether a prenup fits your circumstances
Thinking through these issues before the wedding can help you and your future spouse set clear financial expectations. Legal guidance can help you understand what a prenup may cover and the factors that can affect whether a court will uphold it.