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The Hidden Costs of Skipping a Prenup in Washington State

Protect your assets and understand financial risks of skipping a prenup in a Washington marriage.

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Getting married in Washington state without a prenup means state laws will dictate what happens to your assets and debts - both during marriage and if you divorce. Let's look at what's really at stake, and how First can help you navigate this process.‍

Protecting Your Financial Future

‍A prenup isn't about planning for divorce - it's about taking control of your financial future together. The agreement can:

Keep your separate property separate
Protect your business interests, including any equity compensation
Define how future assets will be handled
Clarify debt responsibilities
Save thousands in potential legal fees

Washington's Community Property Laws Take Control

As a community property state, Washington treats most assets and debts acquired during marriage as jointly owned, regardless of whose name is on them. It also means that without a prenup, the default rule is that all community property is split 50/50 between the ex-partners.

Without a prenup, here's a sample of what becomes community property by default:

Income earned during marriage, including any equity compensation such as company shares, stock options, or restricted stock units (RSUs) earned during marriage
Real estate purchased during the marriage
Retirement and pension accounts contributed towards
Business assets and appreciation
Vehicles and other major purchases

Community property laws also mean you could be responsible for half of your spouse's debts… even ones you didn't know about.

Here’s how First can help:

Your Business Could Be at Risk

‍Business owners face special challenges without a prenup. If you own a business, your spouse may be entitled to half its value increase during marriage - even if they never contributed to its growth. This can force difficult choices like selling the business or taking on debt to buy out your ex-spouse. With a prenup by First, you can set parameters for if your spouse’s contributions will result in the community receiving compensation or gaining an ownership interest in your business.

Inheritance and Gifts Can Get Complicated

‍While inheritances and gifts typically stay separate property, they can become community property if mixed (called commingled) with joint assets. Without clear documentation in a prenup, identifying what should remain separate becomes extremely difficult. With a First prenup, you can clearly delineate whether the use of your inheritance for a family purpose should be considered a gift or be subject to reimbursement during a divorce.

Debt Division Can Get Messy

‍Student loans, credit cards, mortgages – any debt taken on during marriage can become joint responsibility, even if only one spouse benefited. A First prenup allows you to tailor your liabilities to specify who will be responsible for which debts.

Legal Fees Add Up Fast

‍Without a prenup setting clear terms, divorce negotiations often drag on as couples battle over asset division. Leaving decisions to a judge means paying thousands in legal fees to argue your case. First prompts parties to smartly plan for the worst-case scenario and agree to try counseling and/or mediation prior to filing for divorce.

Future Income and Assets Are Up for Grabs

‍That promotion you're working toward? Stock options not yet vested? Future inheritance? A half-written novel saved on your hard drive? Without a prenup, your spouse may have claim to a portion of assets and income you haven't even earned yet. A Prenup = protecting your potential.

The Smart Path Forward

‍Today's couples are increasingly choosing prenups as a practical financial planning tool. Creating a prenup opens important conversations about money and can actually strengthen your relationship.

The cost of skipping a prenup far outweighs the investment in creating one, and we’ve made the process simpler and more affordable than ever. Don't leave your financial future to chance – take control with a carefully crafted prenuptial agreement by First.

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