About Cohabitation Agreements
Cohabitation Agreements are chosen by couples who are not married, but would like to regulate clearly their property rights and ensure financial security should their circumstances change. Arrangements for mutual financial support, dealing with debts and looking after children would need to be made in preparation for a change of circumstances occurring.
Cohabitation Agreements have become popular in Britain today because they clarify financial commitments. Long-term relationships, especially those involving children, involve a partnership as well as a romantic bond. Balancing the budget between income and outgoings, working out who pays what and how responsibilities are shared in running the home all need sorting out to ensure a stress free and harmonious home life.
Balancing the budget between income and outgoings, working out who pays what and how responsibilities are shared in running the home all need sorting out to ensure a stress free and harmonious home life.
A Cohabitation Agreement recognises a person’s choice to say ‘I don’t’ to marriage and ‘I do’ to financial responsibility. There is much to be said too for planning ahead, especially to deal with the fallout from unplanned scenarios, such as: another child, separation, long-term illness or death.
More and more people today are choosing to plan ahead and many are grateful they did.
What Your Cohabitation Agreement Covers
- A statement containing the purpose of the contract
- Your full names, addresses and ages with a disclosure of your financial position and your current state of health.
- Duration - how long you want the agreement to last for
- Property - how you intend to deal with the property you owned before the relationship and property you acquire during the relationship
- Income/expenses - whether you will pool your income into a joint account, or keep separate accounts, whether either of you will support the other if she or he gives up work and for how long
- Children - whether or not you plan to have any, how you want them to be educated etc
- Inheritance and Wills - what you plan to leave to each other. Bear in mind that marriage will make void any will you already have so you'll need to make a new one after tying the knot
- Changes - what happens if either of you wants to change the contract or if you separate
- Extras - because a cohabitation contract is a relatively informal document, you can customise it to your own requirements - and some couples include it in their plans for holidays (who chooses where to go) and how they will go about sharing maintenance and the housework