Learning From Celebrity Mistakes
Reese Witherspoon is one of my favorite actresses, so I was sad to hear that she was divorcing Ryan Phillippe, and even more sad to read that she DIDN'T HAVE A PRENUP. According to the Miami Herald, Reese made $30 million for just two films in 2005, while Ryan averages about $2.5 million per film (when he gets roles). California law states that the couple's earnings while they were married must be divided 50/50, so Reese is losing bigtime.
This whole drama is almost a replay of Nick Lachey and Jessica Simpson's split last year. The two failed to sign a pre-nup before their marriage in 2002 (when Nick was the big star), which came back to really hurt Jessica in 2005 when they split.
I'm often shocked when I hear that people are against getting a prenuptial agreement, usually because they think that they'll never get divorced, that they're worried that discussing a prenup will kill the romance or that they assume that prenups are only for control freaks or wealthy people. This simply isn't true.
So, what does this mean to you? Well, first, celebrity splits can be pretty entertaining, but also, it might make sense to consider a prenup for yourself if you're considering getting married in the near future (which, alarmingly, more and more of my friends seem to be doing).
A marriage is a financial union and it's very important to get all of your financial information out on the table, so that it doesn't lead to conflict later on.
You can't ignore the statistics. The divorce rate is around 50%, and you can bet that everyone going through a divorce once assumed it could never happen to them. As Suze Orman writes, "Assuming total immunity in the face of 50/50 odds is acting way too moonstruck if you ask me."
All that said, prenups aren't for everyone- they can be expensive, unnecessary, and sometimes unenforceable in many states. It is, of course, important to consult with a lawyer first about whether or not it might make sense.
For more information on prenups, along with guidelines on who should definitely not get married without one, check out this pro-prenup article from Suze and more technical article from CNNMoney.