A prenuptial agreement is signed by spouses before marriage. Here’s what to know about the cost of a prenuptial agreement in California.
The cost of a prenuptial agreement in California is not fixed. Though most lawyers require a flat fee, the final price differs depending on the complexity of the contract and any following negotiations.
What is a prenuptial agreement?
Under California’s Uniform Premarital Agreement Act (UPAA), a prenuptial agreement, or a prenup, is not effective until after marriage. Prenups specify financial rights and may include the following:
- Property rights (including the ability to manage and control property)
- Creation of a will
- Life insurance policies
- Any other terms to be settled in the event of divorce
Prenups in California will be invalidated if the agreement includes:
- Terms of child custody or support
- Illegal activity
- Unfair or exploitative agreements
- Non-financial demands
How much does a California prenuptial agreement cost?
Prenup fees are in flux. On average, prenups range from $1,200 to $2,400 per partner. Prenups for couples living in major metropolitan areas could cost up to $10,000.
The cost of a prenup can also depend on the lawyer’s experience, the couple’s socioeconomic level and assets to be protected.
When to Pay For a Prenup
Ultimately, a couple should decide whether to pay an attorney to assist in prenup proceedings. A prenup may offer financial transparency and for both partners to divide their assets in an agreeable manner.
Factors Affecting Prenuptial Agreement Costs in California
The cost of a prenup may vary depending on:
- Each partner’s individual assets
- The complexity of the prenup
- Where you live
- The reputation and hourly fees of the lawyer
- How long does conflict resolution takes
Individuals without legal experience can but should not draft their own prenups. California courts may be more likely to invalidate an incorrectly written contract.
How to Reduce Prenuptial Agreement Costs in California
Both partners in the marriage should draft their own contract, consult with a lawyer, and each is represented by an attorney. An attorney may also charge hourly fees if couples:
- Prolong negotiations due to failure to discuss individual expectations
- Do not focus on family and financial issues and stray into non-material claims like infidelity and prior marriages
Prenup negotiations can be further complicated by trusts, LLCs, and partnerships protecting financial wealth and taxes.
Poorly written prenups may result in overlooked contingencies, legal invalidity, or deviation from a partner’s expectations. Skimping on legal fees could end up costing couples more in the future.
FAQs About Prenuptial Agreement Costs in California
1. Are prenups necessary?
No. While prenups are becoming more common, both partners must consent to the agreement. Without a premarital agreement, the California Family Code and Probate Code will determine property ownership, as well as any other agreements between spouses.
2. Are prenups worth the cost?
It depends. Some couples may want to protect assets or retain control of financial holdings. Prenups are not just for the wealthy and can save a couple of money in the wake of contentious divorce litigations.
3. Why should couples consider prenups?
A prenup is a customizable contract placing control of an individual’s financial future in their own hands. The agreement establishes a legal division of assets and can be altered with the consent of both parties.
4. Is it necessary to have the legal experience to create a prenup?
No. Sample templates for a prenuptial agreement can be found online. A court is less likely to invalidate a prenup if it was drafted by a lawyer. Under California law, however, a premarital agreement is unenforceable if a partner waived their rights to legal counsel at least seven calendar days before the agreement was signed.
5. Do all prenups cost the same?
No, but prenups typically cost a flat fee of around $2,500.
Contact Us
If you or a loved one would like to know more about how much postnuptial costs in California, get your free consultation with one of our family law attorneys.