Valentine’s Day is usually associated with flowers, dinners, and promises of forever. It celebrates commitment, optimism, and love at its most hopeful stage. But for many couples, love stories evolve. Some strengthen over time; others change direction. While it may feel unromantic to think about separation on a day devoted to romance, being smart about your future is not cynical, it is responsible.
In Australia, relationships, whether marriages or de facto partnerships are governed by the Family Law Act 1975 (Cth). That legislation provides a framework for property division and financial adjustment when relationships break down. It is designed to be fair, but the process can be emotionally and financially draining if parties are unprepared or in conflict.
There is a misconception that planning for separation signals doubt. In reality, it reflects maturity. Just as people take out insurance policies not because they expect disaster but because they understand risk, couples can structure their financial affairs thoughtfully without undermining their relationship.
A Binding Financial Agreement (‘BFA’) is one such mechanism. Under the Family Law Act, couples can enter into agreements before marriage often referred to as prenups, during a relationship, or after separation. These agreements can set out how property, financial resources, and even spousal maintenance will be handled if the relationship ends.
BFAs are powerful tools, but they must be entered into freely and with proper independent legal advice. Agreements signed under pressure or significant inequality may be vulnerable to challenge. Being smart is not just about signing a document, it is about ensuring fairness, transparency, and legal compliance.
When separation occurs, persistence and clarity matter. Emotions run high, particularly where property, businesses, or children are involved. The law focuses on contributions financial and non-financial, future needs, and what is just and equitable. But litigation is costly, both financially and psychologically.
Those who approach separation strategically, gathering documents early, seeking sound legal advice, and focusing on resolution rather than revenge, are often in a stronger position. Persistence here does not mean hostility. It means staying committed to a fair outcome even when the process feels slow or difficult.
A well drafted BFA provides certainty. It can
- Quarantine pre-existing assets such as inheritances or family businesses.
- Protect intergenerational wealth.
- Avoid protracted litigation.
- Sustain a healthy relationship in the future.
- Provide clarity about spousal maintenance.
Importantly, BFAs remove the Court’s discretion to alter property interests except in limited circumstances such as fraud, unconscionable conduct, or material non-disclosure. For many couples particularly those entering second marriages or bringing significant assets into a relationship this certainty is invaluable.
However, they are not suitable for everyone. If entered into carelessly, they can create more disputes rather than fewer. Being smart means assessing whether a BFA is appropriate for your circumstances, not simply assuming it is necessary.
Valentine’s Day celebrates the beginning of commitment. The law deals with what happens if commitment ends. Between those two points lies the reality of life, careers change, children, health shifts, and financial hardship and evolution.
The couples who thrive and the individuals who navigate separation with dignity tend to share common traits, foresight, resilience, and informed decision making. Being persistent does not mean clinging to something unhealthy; it means persistently protecting your wellbeing and financial stability.
Love may be emotional, but separation is legal and financial.
This Valentine’s Day, celebrate love wholeheartedly. But also remember being smart about your future is not unromantic. It is empowering.