Before You Say “I Do” – Binding Financial Agreements, Prenups & De Facto Law in Australia

By Molly Benjamin, Founder of Ladies Finance Club

Listen to the full podcast here.

Love is exciting, but before you move in together, tie the knot, or combine your finances, it’s important to understand how family law, binding financial agreements, and de facto relationship rules work in Australia.

In this episode of Get Rich, host Molly Benjamin chats with Carolina Ariccobene, Family Law Specialist and Senior Associate at Lander & Rogers, about the legal advice every couple should consider before marriage or cohabitation. They unpack common relationship mistakes, how financial agreements protect your assets, the truth about property rights, and the surprising new law about pet custody.

The Biggest Relationship Mistake Couples Make

Carolina sees the same scenario play out time and again: couples who have no idea about their full financial picture; assets, debts, or property ownership, until after a breakup.

Tip: Before moving in or getting married, understand exactly where your money is, how accounts are held, and whether there are any existing debts. This applies to real estate, investments, and even pets because under family law, pet registration can influence who keeps them after separation.

The Truth About De Facto Relationships

Forget the old “two-year rule” myth. Under Australian family law, you can be in a de facto relationship without living together full-time. The courts look at factors like:

• Combined finances
  
• Shared living arrangements
  
• Joint property ownership
  
• Caring for children together
  

And yes, you can be in more than one de facto relationship at the same time.

Why Binding Financial Agreements Matter

A binding financial agreement (BFA), sometimes called a prenup, sets out how assets, property rights, liabilities, and even superannuation will be divided if the relationship ends.

They’re worth considering if:

• You have significant asset protection needs
  
• You’re expecting an inheritance
  
• You own a business
  
• You want to avoid messy court disputes
  

Think of it as insurance against the financial and emotional toll of separation.

The Rules for a Legally Binding Agreement

To be valid, a binding financial agreement requires:

• Independent legal advice for both parties
  
• Full disclosure of all assets and liabilities
  
• No coercion or signing under pressure
  

Costs vary, but are almost always cheaper than fighting over a property settlement in court.

What Happens Without One?

If you separate without a BFA, the Family Court will decide on asset division based on contributions, future needs, and case law. This can be unpredictable and expensive.

How to Have the Conversation Without Killing the Romance

Money talks don’t have to ruin the mood. Frame it around transparency, shared financial goals, and protecting both parties’ interests. If someone resists even discussing financial agreements, that could be a relationship red flag.

Red Flags for Hidden Assets

Carolina says to look out for:

• Unexplained withdrawals
  
• Changed income deposits
  
• Assets transferred to friends or family
  

If you suspect something, get legal advice early.

Moving a Partner Into Your Home

If you own the property, your partner doesn’t automatically gain property rights - but contributing to bills, renovations, or household expenses could later support a claim. A binding financial agreement can protect your existing property while clarifying how shared assets will be handled.

Whether you’re married, engaged, or in a de facto relationship, understanding your legal rights and having the right protections in place—like binding financial agreements - isn’t unromantic. It’s smart asset protection that can save you from costly mistakes and disputes.

🎧 Listen to the full episode of Get Rich to hear all of Carolina’s property rights, family law, and relationship red flag insights. 

📞 Need legal advice? Contact Lander & Rogers Family & Relationship Law Team for a no-obligation chat.

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