What is a Marital Property Agreement?

There are different types of agreements that spouses and soon-to-be spouses can reach regarding their marital property rights. For example, before marriage, you can enter into a premarital agreement, also known as a prenuptial agreement. After marriage, you can enter into a postnuptial agreement, also known as a partition and exchange agreement or post-marital agreement. Under Texas law, spouses are granted the right to change the character of community and separate property by agreement with the use of a marital property agreement. A marital property agreement is an agreement that spouses can enter into before or at any time after marriage. To be valid, this agreement must be in writing and signed. This agreement permits spouses to alter the community property system used in Texas in the following ways:

• Convert community property into separate property by partitioning and exchanging community property between spouses. For example, if the parties accumulated $100,000 in an account during the marriage, then the $100,000 is community property, and each party owns an interest in the property. At the time of a divorce, the $100,000 is subject to being divided between the spouses by the court. In a marital property agreement, the spouses can agree to divide the $100,000 so that each spouse owns $50,000 of the account as his/her separate property. In this situation, at the time of divorce, the $50,000 owned by each spouse will not be subject to being divided by the court, but rather, will be confirmed as the separate property of the spouse.
• Convert income that is derived from community property to separate property. For example, if a spouse owned a retirement account prior to marriage, then all income that flows from this account during the marriage is community property and is subject to being divided at the time of divorce. In a marital property agreement, the spouses can agree that all of the income from the separate property retirement account is also to be that spouse’s separate property. In this situation, none of the retirement accounts will be subject to division by the court at the time of divorce; rather, the entire retirement account will be confirmed as the separate property of the spouse owning the account before marriage.

In summary, having a prenuptial agreement attorney help you and your spouse create a well-written marital property agreement will allow you both to clarify your respective property rights and eliminate any uncertainty about those rights during your marriage. At the same time, a marital property agreement will clearly define what will happen with your property in the event of a divorce.

Hire a Local Attorney for a Prenuptial Agreement in Austin, Dallas, Fort Worth, Granbury, or Plano

At Goranson Bain Ausley, our prenuptial agreement lawyers have drafted and reviewed numerous prenuptial and postnuptial agreements for Texas couples. When you need a prenup lawyer in Austin, Dallas, Fort Worth, Granbury, Midland, or Plano, our law firm can advise you on the advantages and disadvantages of entering into a marital property agreement and help you make an informed decision about whether this is the right step for you and your future or current spouse to take. If you’re searching for a “prenuptial or postnuptial agreement lawyer near me” then contact us today.