Living together/marrying

At first glance, there seems to be little difference between cohabitation and marriage. However, legally and financially, there’s a world of difference. Below, we highlight five points that are wise to consider.

1. The shared home

Rental property

If you live together in a rental property, you’re not automatically both tenants. The rental agreement specifies who the tenant is. If your name isn’t listed, you could face a major problem. For example, if the relationship ends or your partner dies. It’s not always the case that you’re allowed to continue living in your home. You can avoid this by entering into a joint tenancy agreement.

Through marriage or a registered partnership, you legally become co-tenants. You both have the same rights vis-à-vis the landlord.

Owner-occupied home

Living together in a purchased home without further agreements doesn’t mean you both own it. Who that is, is stated in the purchase contract. The mortgage deed specifies who is responsible for the mortgage. A cohabitation agreement allows you to establish agreements about the purchased home, for example, about the division of fixed costs, or the distribution of profits or debts upon sale.

Are you married or in a registered partnership? If you bought the property together, you both own half of it. It doesn’t matter whether one person paid more or less than the other. If your partner bought the property alone, it depends on whether you’re married in community of property. If you had a prenuptial agreement or partnership agreement drawn up by a notary, that document may specify the extent to which each person owns the property.

2. Assets and liabilities

If you live together, the items you buy together belong to you and your partner. However, you retain ownership of anything you buy alone. You can make different agreements about this and record them in a cohabitation agreement or notarial deed. However, you must be able to prove which items are yours or were purchased jointly. Keeping good records helps with this. Maintaining these records is sometimes even a requirement of the cohabitation agreement.

The wedding date can determine the rules that must be followed during the marriage. For marriage or a registered partnership, the rules of the law apply. Exceptions can be made, but these must be recorded by a notary. Consider the division of assets and/or debts. If you married or entered into a registered partnership after January 1, 2018, a limited community of property applies.

3. Children

In a cohabiting couple who has a child, the law recognizes only the mother as the (legal) parent. She therefore has sole parental authority. If the father wants the same rights and responsibilities, he must first acknowledge the child with the municipality. Then, you must apply for joint parental authority with the court.

If the child is born during a marriage or registered partnership, you are both legally parents and have joint parental authority. The law differs slightly from the situation for registered partners. If the child was born before April 1, 2014, the father must first acknowledge the child to become a legal parent.

Regardless of how you cohabit, a parenting plan is required when the relationship breaks up. The same applies to child support. Clear agreements must be made about this as well.

4. Inheritance

If you live together, you are not each other’s heirs unless you have agreed otherwise in a will. In the case of a marriage or registered partnership, you are automatically each other’s heirs, unless otherwise stipulated in a will.

How much you’ll receive from an inheritance depends on whether you’re considered partners by law and the Tax and Customs Administration. Sometimes you’re eligible for this even without a cohabitation agreement. You can find more information about this on the Tax and Customs Administration’s website, but we can also provide you with further information.

5. Divorce

If you’re living together and the relationship ends, you don’t have to go to court to end it. If you have a cohabitation agreement, it will outline what you need to do. Sometimes, this agreement even specifies what you should divide between you.

A divorce is a completely different process. You need a judge for that. If you both have parental responsibility for the children, the same applies to a registered partnership. If there are no children, or if there are children but one of you does not have parental responsibility, you can divorce with the help of a lawyer or notary. You’ll make agreements about alimony and how you’ll divide your accrued pension. The latter only applies if you haven’t excluded it in your prenuptial agreement or partnership.

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