It’s an exciting time. You’re newly engaged and in the midst of wedding planning when you suddenly think, do I need a prenup? There can be many reasons to consider a prenup. You may be marrying later in life, have dependent children from a previous relationship, want to protect your hard-earned assets, or can see a large inheritance in the future.
When figures from The Australian Bureau of Statistics indicate there were 49,510 divorces granted in Australia in 2020, an increase of 1.9% from 2019, unfortunately we know that not all love stories have a happy ending.
What is a prenup?
You’ve probably heard the word ‘prenup’ or ‘prenuptial agreement’ bandied around in US romcoms. but under Australian family law, your lawyer will refer to it using the official name of Binding Financial Agreement (BFA).
A BFA is a legal agreement between you and your partner that outlines how your property and assets will be divided and dealt with in the unfortunate event of your marriage ending in separation or divorce.
Most people assume they can only be drawn up prior to marriage, but they can also be made during marriage, or even between de facto relationships.
Who should get one?
If you have assets, dependent children, or a possibility of a large inheritance in the future, you might want to consider a prenup. If your marriage were to sadly end, it can potentially assist in keeping the separation amicable and fair.
Some people feel that starting a marriage with a prenup doesn’t display much trust. But you may find that your partner is on the same page, especially if they are in a similar position to you, with a previous relationship behind them, or children they want to protect from any financial difficulties in the future.
Why should I get a prenup?
Without a prenuptial agreement, you may end up in court to decide who gets what and to divide assets, and even custody of dependent children or pets. If you’ve engaged a family lawyer, and have a valid prenup in place, then it’s you who decides how you want assets split. This means it’s under your own terms within the prenup. So you need to consider, are your family and your assets worth protecting?
How do I ask my partner for a prenup?
The conversation might feel awkward, but it’s best to bring it up as early as possible. Be clear with your intentions and why it’s important for you and your family. You may have previous dependents or assets that you are responsible for, which are valid reasons for a prenup. Consider a prenup as relationship insurance that you hope you’ll never need.
If you want to protect your assets and future, we can help prepare your prenup
A prenup can provide you and your family significant peace of mind before entering into a new marriage. The team at Seton Family Lawyers are experienced and accredited family law specialists. Contact us today to book an appointment and discuss your pre-nuptial requirements. Conveniently located in Erina, our Central Coast law firm can help you achieve the best outcome for your family.