Is a Prenuptial Agreement Necessary

[97C5ENVY]

State of TEXAS:

The only assests I have is my home(fully furnished), 3 cars, a very small savings account, and a ton of shop tools. My only debt is my home. I know it isn't much but it's more then what the spouse-to-be has which is zero assests and zero debt. I busted my a$$ to get what little I do have and I don't want to freely give it away just by getting married.

So my question is: Since there is little to no assests involved should I even do a prenuptial? Or maybe a better question is what's considered "personal property" and what's considered "community property"?

[mamabear2102003]

Honestly, I'm not getting the whole prenup thing.... the assets of both parties are pretty negligible in the overall scheme of things (cars will need to be replaced, homes often have mortgages), and you seem quite content to have a 'housewife'. Do you think that things are going to go south after married?

[chuckycheese]

Texas is a community property state so each of you retain ownership of individual assets that you own prior to marriage. However, most assets acquired after marriage become community property and will be jointly owned.

This would include income, gains in investments, etc. If either of you inherit money, property or receive indiviual gifts during your marriage, they will forever remain individually owned.

[97C5ENVY]

Two of my cars will not be replaced as they are collectors items....and will only go up in value. So if I skip doing a prenup will any "appreciated" value that occurs during marriage be considered community property?

I purchased my house before I met my spouse-to-be. But after marriage we will be residing in my house. Will that make my house community property?

[chuckycheese]

Any appreciation in your cars or anything else that you already own will be yours alone.

The same would hold true for your house if you truly owned it. Since there's a mortgage, the situation can change because of the fact that your wife could make the case that mortgage payments were made with community assets. Most likely, the worst case scenario would be that she would be entitled to half of the appreciation that took place after you were married although she could possibly also end up with some equity.

It's wise to be thoughtful, prudent and careful about such things but don't let it interfere with your relationship; it's not worth it.