Before you move In, marry or buy together: why financial agreements matter

When people are building a life together, a financial agreement is rarely the first thing they want to talk about. Many couples feel that they are just moving in together, just buying a home, or not yet at the stage where they need to worry about legal protection. Others feel that raising the topic is unnecessary because the relationship is strong, loving and full of trust.

That is completely understandable. No one enters a relationship expecting it to end but planning ahead is not a sign that something is wrong. Often, it is simply a thoughtful way of creating clarity, reducing uncertainty and making sure both people understand where they stand from the outset.

Financial agreements are not just for the wealthy

A financial agreement is not only for people with significant wealth, complex trusts or multiple investment properties. Many people who seek advice are simply trying to protect a deposit, record contributions being made by one party or their family, preserve assets one person already owned, or create clarity about what should happen if circumstances change in the future.

Sometimes the assets involved may seem modest at the beginning of a relationship. However, even relatively small asset pools can become deeply important later, particularly where they involve a home, savings, superannuation, financial help from parents or a property one person brought into the relationship. What often matters most is not how much there is to protect today but whether there is value in reducing confusion and conflict later.

Marriage is not the only time this matters

It is also common for people to assume that financial agreements are only relevant if they are getting married. Australian family law recognises de facto relationships in ways that carry significant consequences for property, superannuation and maintenance. The law looks at the reality of the relationship, not simply whether a couple is married or uses that label.

That means moving in together, purchasing property together or gradually combining finances can all become relevant if the relationship later breaks down. People are often surprised to learn that a relationship they saw as informal, or still in its early stages, may already carry legal consequences.

“We are in love, so we do not need this”

That is one of the most natural reactions people have, and in many ways it comes from a good place. Talking about a financial agreement can feel uncomfortable, awkward or unromantic. It may feel at odds with the hope and optimism that usually surrounds moving in together, buying a first home or planning a wedding; these conversations can feel sensitive and complex.

However, a financial agreement does not have to be seen as a sign of mistrust. Often, it is simply part of good planning. People make wills, take out insurance and think carefully about future arrangements not because they expect the worst but because life can be unpredictable. In the same way, a financial agreement can be a practical tool that encourages honest conversations about finances, expectations and contributions while both people are communicating well.

For some couples, that discussion confirms that an agreement is unnecessary. For others, it provides comfort and certainty. Either outcome can be helpful.

Why a rushed agreement can create problems

Another common situation arises where an agreement has already been prepared, often by the other party’s lawyer, and there is pressure to have it signed quickly. That might happen shortly before a wedding, a property settlement, an auction or a move-in date. At that point, people are often told they only need a quick review and a signature on the certificate of independent legal advice.

Unfortunately, it is rarely that simple. Independent legal advice is not just a formality. A lawyer needs to properly consider the agreement, understand the surrounding financial circumstances and explain the legal effect of what is being proposed. If the process is rushed, there may be very little opportunity to ask questions, request changes or even properly reflect on whether the agreement is in your interests.

When financial agreements are prepared carefully and supported by proper advice, they can provide certainty and long-term protection. When they are rushed, they may not do the job people hoped they would.

Cheap is not always cheaper

Cost is one of the biggest reasons people hesitate; that is understandable too. Properly prepared financial agreements are often expensive because they require careful drafting, detailed advice and a clear understanding of both parties’ circumstances. It is not unusual for a well-prepared financial agreement to cost more than $7,000 to $8,000 per party, and significantly more where the matter is more complex. Each party usually pays for their own lawyer.

That can feel difficult to justify, especially where a couple feels they are only just starting out. However, very low quotes should be approached carefully. If the fee is too low to allow proper drafting, proper review and meaningful advice, the agreement may not provide the certainty it was intended to create. In the worst case, people spend money on a document that later proves vulnerable to challenge or does not protect them in the way they expected.

Sometimes the real question is not whether a financial agreement is expensive. It is whether the cost is proportionate to the value of clarity, protection and peace of mind.

Why proper advice matters

For a financial agreement to be binding, the law requires independent legal advice and compliance with strict technical requirements. That means it should never be approached as a quick certificate or a simple administrative step. A proper advice process gives each person the chance to understand what they are signing, what rights may be affected and whether the proposed agreement is appropriate for their circumstances.

Even where a couple is in full agreement, that advice still matters. It helps ensure the process is real, informed and fair, and it reduces the risk of misunderstandings later.

The bottom line

Financial agreements are not only for the wealthy, and they are not only relevant when a wedding is around the corner. They can be worth considering when you are moving in together, buying property, receiving family assistance or simply wanting clarity about what each of you is bringing into the relationship.

Not every couple will need one but where a financial agreement is being considered, it should be done thoughtfully, with enough time and with proper advice. A well-drafted, carefully considered and binding agreement can provide certainty and reassurance. A rushed or cheap one may not.

If you are considering moving in together, buying property or getting married, early advice can make a meaningful difference. Hazel’s approach is grounded in clarity, compassion and informed decision-making, and an important document like a financial agreement deserves exactly that.