The cost of a prenuptial agreement or cohabitation agreement in British Columbia is going to depend on a lot of factors. The average price for a comprehensive prenuptial or cohabitation agreement at Freedom Family Law is currently $2,250, typically ranging between $1,500 for the very simplest agreements, and $3,000 for a more complicated one. In exceptional cases, such as where complicated business arrangements are involved, agreements may exceed that upper bound.
However, going into a marriage or living together without one has the potential for much, much higher costs associated with it. So instead, let’s discuss the potential costs of not having an agreement made.
First, let’s talk about the differences between family property and excluded property.
Family property is everything you or your partner own on the date you separate, except for excluded property. Excluded property is any asset you had before you and your partner lived together. However, for any increase in value to the excluded property, the increased portion is considered family property. Any other assets owned prior to living together, including gifts and inheritances, are also considered excluded property. But the same deal applies, where if there is any increase in value to the excluded property, the increased portion is not family property. If this is something that is making your arm hairs stand up, continue reading to keep learning, or scroll down to the bottom to book a call with one of our team members!
There are many nuances as to how things may be divided in the event of a separation, so it’s always best to consult a great family lawyer, but here are the general items that are considered family property, and family debt.
Family property examples:
- Real estate. Including the family home and any secondary properties, land, rental properties, etc.
- Investments such as RRSP’s & TFSA’s, stocks.
- Bank accounts; chequing and savings.
- Insurance policies
- Pensions
- Businesses
- Vehicles
Family debt:
- Mortgages
- Credit cards
- Personal loans
- Lines of credit
- Income tax
- Vehicle loans
Without a prenuptial or cohabitation agreement that clearly states what is excluded property (beyond what is already considered excluded property), everything else is considered family property, and is up for dividing. It doesn’t matter if only one partner has their name on the asset (or debt), the law says it is still family property.
Having a prenuptial or cohabitation agreement will also help to keep you both out of the courtroom, should there be an end to the relationship. Having a clear, fair, and enforceable agreement while lines of communication are open will save a lot of money and frustration in the future. We encourage you to be proactive in planning for your future.
The first step to getting a clear picture of what your needs are, and what your costs will be, is to book an initial call with one of our team members here. We offer flat-fee agreements so there are no additional hidden charges once we’ve been retained. We look forward to offering you not only high-quality work, a team that goes above and beyond, and reasonable prices, but the convenience of being a fully remote firm.