More than half of surveyed attorneys cited an increase in millennial prenuptial agreements, according to the American Academy of Matrimonial Lawyers, or AAML. The frequency of prenups has grown five-fold across the board over the past two decades, but the boost among 18- to 34-year-olds is a fairly recent trend.
It might seem absurd that millennials, arguably the worst victims of the Great Recession, are requesting prenups, but they have valid financial reasons for doing so.
For one, millennials are getting married later in life, which means that they potentially have more assets.
“They’ve been on their own, accumulated some wealth, either from a 401(k) or a stock program provided by their employer or some real estate, and they want to make sure that’s theirs if there are problems down the road,” said John Slowiaczek, president of AAML.
On average, men are 29 and women are 27 when they first say “I do.” Less than 30 years ago, the average was 26 and 23, respectively. A few years can make all the difference, especially in one’s mid-20s. Older millennials suffered through a weak job market during the Obama years, and have fought for every penny they’ve earned.
Why risk losing everything over a failed relationship? Millennials also have to consider their spouse’s debt.
Average student debt for college graduates topped $38,000 in 2017. Millennials still struggle with underemployment, which means that a good chunk of this is hanging over their heads when they tie the knot. These loans can make the whole divorce process messy — especially when one spouse co-signs the other’s private student loan. In that case, he or she is legally bound to the loan until a release is secured from the lender.
Couples have a fair chance of getting stuck with their partner’s debt if a divorce gets ugly, and that might be worse than having to pay alimony or child support.
Finally, there’s the issue of commitment. In general, marriage has dropped a few places on the list of millennial “life goals,” mostly due to financial circumstances like underemployment. Only 42 percent of millennials see marriage as a life goal, and ABC’s “Bachelor” franchise hasn’t done much to reverse this trend.
According to a survey from the financial intelligence company Comet, the average single millennial would delay marriage for seven years if they were offered a life-changing promotion. Needless to say, marriage isn’t a top priority, which begs the question: How strong is their commitment to the institution of marriage if their career has come first for so many years?
No one wants to get screwed in a divorce. Just like celebrity idols (Kanye and Kim, Beyoncé and Jay-Z, Justin Timberlake and Jessica Biel, etc.), average millennials want their individual assets protected before they take the plunge. Considering the divorce rate in the U.S. hovers around 50 percent, it’s probably for the best.
