THE ULTIMATE 2025 AUSTRALIAN GUIDE TO BINDING FINANCIAL AGREEMENTS
(Prenups, Postnups, De Facto Agreements, and Separation)
By Adams United Lawyers – Fixed-Fee Family Law Australia
What Is a Binding Financial Agreement (BFA)?
A Binding Financial Agreement (BFA) is a private, legally enforceable agreement made under the Family Law Act 1975.
It allows couples to decide exactly how their assets, debts, superannuation, and financial resources will be divided if they separate.
A BFA can be used at any stage of a relationship.
Types of BFAs:
- Before marriage (Prenup) – section 90B
- During marriage – section 90C
- After marriage separation – section 90C
- Before a de facto relationship – section 90UB
- During a de facto relationship – section 90UC
- After de facto separation – section 90UD
A properly drafted BFA carries the same legal weight as court orders.
Why Australians Are Using BFAs in 2025
More Australians are choosing BFAs for:
- Protecting assets owned before the relationship
- Protecting future inheritances
- Protecting family wealth or businesses
- Avoiding court and long delays
- Keeping property matters private
- Making separation simple and clear
- Eliminating financial uncertainty
- Protecting children from previous relationships
- Buying a home with unequal contributions
- Protecting against future claims
A BFA is financial insurance for both parties.
When You Can Enter Into a BFA
You can enter into a BFA at any stage:
Before marriage (Prenup):
Protect assets, home, savings, and inheritances prior to marriage.
During marriage (Postnuptial Agreement):
Used when buying property, receiving inheritance, restructuring finances or protecting assets.
After separation:
Used to formalise a property settlement without going to court.
Before living together (de facto prenup):
Protect assets before becoming de facto.
During de facto relationship:
Protect finances while living together.
After de facto separation:
Formalise a property settlement.
Benefits of a Binding Financial Agreement
Key advantages include:
- Total privacy (no court involvement)
- Very fast turnaround
- Full flexibility
- Ability to define future plans
- Strong protection for both parties
- No need for a judge to approve
- Can include plans for future assets
- Custom clauses tailored to your financial situation
Consent Orders require court approval. A BFA does not.
BFA vs Consent Orders (Simple Comparison)
Binding Financial Agreement:
- Legally binding
- No court involvement
- Flexible
- Can include future assets
- Can remove spousal maintenance
- Applies to married and de facto couples
- Very fast turnaround
Consent Orders:
- Legally binding
- Requires court filing (no hearing)
- Less flexible
- Cannot include future inheritances
- Limited spousal maintenance clauses
- Slower processing time
Most couples choose a BFA for flexibility and speed.
Common Situations Where BFAs Are Recommended
A BFA is usually recommended when:
- One partner owns property before the relationship
- A home is bought together with unequal contributions
- One partner receives inheritance
- Families contribute to property purchases
- A business, trust or company is involved
- There are children from a previous relationship
- One partner has significant debt
- A couple plans to reconcile after separation
- Couples want to avoid court
- FIFO workers or shift workers need efficiency
BFAs prevent conflict and protect both partners.
What Makes a BFA Legally Enforceable?
A Binding Financial Agreement must meet strict requirements under the Family Law Act:
- Must be in writing
- Must include full financial disclosure
- Must be drafted properly
- Must be signed voluntarily (no pressure)
- Must include a Certificate of Independent Legal Advice for each party
- Must not involve fraud or concealment
- Must not be extremely unfair
- Must be executed correctly
Missing any of these elements can allow a challenge.
Why BFAs Get Overturned (Recent Case Law Examples)
Courts do uphold well-drafted agreements.
They only overturn those with major issues.
Common reasons:
- Pressure, threats or time limits (example: signing days before the wedding)
- Inadequate legal advice
- Improper drafting or overseas templates
- Failure to disclose assets, trusts, crypto or debts
- One party not understanding the effect of the agreement
- Misleading information
- Severe inequality without proper explanation
Recent cases show that properly drafted agreements stand, while rushed DIY templates fail.
The Cost of a Binding Financial Agreement in Australia (2025)
Typical lawyer fees:
- 3,500 to 8,000 per party
- Some charge up to 10,000 or more
- Many firms charge hourly, which increases the final bill
Adams United Lawyers fixed fees:
- 2,200 fixed fee to draft a BFA
- Includes drafting, revisions, negotiation, advice, and certificate
- 990 fixed fee for the ex-partner’s independent legal advice review
No hidden fees. No hourly billing. Nationwide service.
What a BFA Must Contain (Checklist)
A strong BFA normally includes:
- Full asset disclosure
- Full liability disclosure
- Division of property
- Division of debts
- Superannuation treatment
- Spousal maintenance clauses
- Future inheritance clauses
- Release of future claims
- Financial schedules and annexures
- Independent legal advice certificates
- Clear execution instructions
This is why DIY templates fail most of the time.
Can a BFA Cover Spousal Maintenance?
Yes.
A BFA can include:
- No spousal maintenance
- Lump sum payment
- Ongoing payments
- Conditional maintenance
- Termination of maintenance claims
Consent Orders cannot do this with the same flexibility.
How a BFA Works When Living Under One Roof
Many couples are separated but still living together for reasons such as:
- children
- finances
- waiting for housing
- safety
- convenience
You can still:
- Prepare a BFA
- Formalise a property settlement
- Protect yourself legally
A BFA is the preferred method for people separating under one roof.
How Long Does a BFA Take?
With Adams United Lawyers:
- 72-hour turnaround for drafting
- 24-hour turnaround for reviews
- Immediate advice certificates
- Nationwide online service
Court orders can take weeks or months.
A BFA avoids this completely.
What Happens If Someone Breaks a BFA?
You can enforce a BFA the same way you enforce court orders.
Steps include:
- Negotiation
- Mediation
- Court enforcement application
- Cost orders against the non-compliant party
A properly drafted BFA is very difficult to overturn.
Family Law Act 1975 (Cth)
Federal Circuit and Family Court of Australia
Attorney-General’s Department – Family Law
If you want a fast, fixed-fee Binding Financial Agreement drafted by specialists with full compliance and nationwide service, contact Adams United Lawyers today.
We offer:
- 2,200 fixed fee BFAs
- 990 fixed fee reviews
- 72-hour turnaround
- Nationwide online appointments
- 27+ years of legal experience
Protect your future. Book your Free consultation today.
