How much does a Michigan prenuptial agreement cost? When a couple begins discussing prenups, this is usually their first question. Let’s explore this question and review some general information about prenuptial agreements and why a couple might want to have one.
How Much Does a Prenuptial Agreement Cost in Michigan?
Prenuptial agreements, often shortened to “prenups”, are legally binding contracts executed by couples before getting married. A prenup documents each person's premarital assets and dictates how financial issues will be handled and assets will be divided if the couple divorces.
Many couples choose to hire a lawyer to draft their prenuptial agreement. A lawyer familiar with prenups will know what terms and conditions should be included and which terms will not be enforced in court. When a couple hires a lawyer to draft their prenup, they have the peace of mind knowing that their agreement will most likely be upheld in court.
Based on ContractsCounsel's marketplace data, the average cost of a prenuptial agreement in Michigan is $750.00.
Why Do I Need a Prenuptial Agreement in Michigan?
Michigan follows the laws of equitable distribution when handling divorces. All property that is acquired after the marriage is considered marital property and will be subject to division between the two parties.
If the couple does not have a prenup and cannot come up with an agreement at the time of the divorce, the court will determine how to divide property between the two parties in a way that is equitable. Equitable does not mean equal, it means “fair”. If the couple cannot decide what is fair, the court will decide for them, and many people do not like the idea of the court system determining their financial future.
Some factors that a court will consider when dividing property include:
- The source of the property
- Each party’s contribution to the property
- Length of the marriage
- The needs of each party and the needs of children if there are any
- Level of education and earning potential of each party
Having a properly executed prenuptial agreement is the best way to avoid costly litigation and excessive fighting in a divorce.
What's Typically Included in a Michigan Prenuptial Agreement
Every prenuptial agreement will be different based on the assets, debts, and needs of each couple. Michigan has not adopted the rules of the Uniform Prenuptial Agreement Act (UPAA) so the state has their own laws that govern prenuptial agreements.
Some of these issues that can be covered in a prenup include:
- Premarital assets. A list of all the assets each party had before entering the marriage and whether these assets will remain separate property.
- Marital assets. How future marital assets will be divided in a divorce
- Premarital debts. A list of the debts each party had before entering into the marriage, like school loans or credit card debt
- Marital debts. Methods for dividing future debts like a mortgage debt or car loans
- Life insurance. Whether either spouse will have life insurance and what happens to the policy in the event of a death or divorce
- Property control. Each spouse’s right to control, buy, sell, or trade property
- Right to alimony. The couple can agree whether alimony will be paid by one spouse to the other if they divorce.
- State law. Which state’s law govern the agreement
Michigan does not allow prenuptial agreements to address child support or child custody. These issues must be decided at the time of the divorce and cannot be predetermined.
Benefits of a Prenuptial Agreement
Prenuptial agreements are often difficult to discuss because couples don’t want to talk about divorce before they even get married. Having this conversation is easier when you remember the benefits that a prenup can provide, including:
- Asset protection
- Protection from debts you didn’t incur
- Customized plan to distribute assets in a divorce
- Future financial stability
- Savings during the divorce by avoiding costly litigation
Most of the fighting in a divorce is over assets and debts. With a prenup in place, the decisions about property division are already made. This saves a couple from the additional stress and financial burden of litigation.
Michigan Prenuptial Agreement Projects
Prenuptial Agreement Drafting in Michigan
It is always recommended that a couple hires a knowledgeable attorney to draft a prenuptial agreement. A lawyer will be familiar with Michigan law and know what can and cannot be included and enforced in a Michigan prenuptial agreement.
Prenuptial agreement drafting will usually involve a consultation with the couple to learn about their assets, debts, and the terms they want to include in the agreement. The attorney will then draft a prenup that implements these terms.
Prenuptial Agreement Review in Michigan
In some cases, a couple may have an existing prenup or they have drafted their own prenup from a template. While a template prenup can potentially be enforced in court, most of these “fill-in-the-blank” style contracts don’t account for specific state laws.
Before executing a prenup, a couple is encouraged to have the document reviewed by a licensed attorney. The attorney will ensure that the contract is fair, follows all applicable Michigan laws, and will be enforceable in court in the event of a divorce.
Michigan Prenuptial Agreement Drafting Cost
If a couple hires an attorney to draft their prenuptial agreement, they will incur legal fees because drafting a contract of any kind requires the time and legal expertise of a licensed lawyer to complete the project.
According to ContractsCounsel's marketplace data, the average prenuptial agreement drafting costs in Michigan are $750.00.
Michigan Prenuptial Agreement Review Cost
Hiring an attorney to review a prenuptial agreement will also come with legal fees. Even though the attorney isn’t drafting the document from scratch, they will still take their time reading over the contract and suggesting revisions based on their specialized legal knowledge.
ContractsCounsel's marketplace data shows the average prenuptial agreement review costs in Michigan are $750.00.
How Do Michigan Lawyers Charge for a Prenuptial Agreement?
Hourly Rates for Prenuptial Agreements
Most family law lawyers who handle prenuptial agreements charge their clients using an hourly rate fee structure. With this fee agreement, a lawyer will bill a client at a set hourly rate for time spent working on the case or project.
The marketplace data for ContractsCounsel shows the average hourly rate for a family lawyer in Michigan ranges from $200 - $350 per hour.
Flat Fee Rates for Prenuptial Agreements
If a lawyer is hired for a specific project with a definitive end, like drafting a prenuptial agreement, they may choose to charge the client a flat fee rate instead of billing hourly. The lawyer will estimate how long the project will take then quote the client a fee that covers all work associated with the task.
ContractsCounsel's marketplace data shows the average flat fee rate for a prenuptial agreement in Michigan is $750.00.
Get Help with a Michigan Prenuptial Agreement
Do you need help with a prenuptial agreement project? If so, post a project in ContractsCounsel's marketplace to receive flat fee bids from family lawyers who are licensed to practice law in Michigan and can handle your project. All lawyers on the ContractsCounsel's platform are vetted by our team to make sure you are provided with top-tier service.