Property Settlement After Separation: Assets, Contributions and Future Circumstances

Property settlement is not based on an automatic 50/50 rule. The legal process generally identifies and values the parties’ current property, liabilities, superannuation and financial resources; considers contributions; assesses relevant current and future circumstances; and determines whether proposed orders are just and equitable under the applicable law.

Key points

• Property settlement is separate from divorce.
• Full and frank financial disclosure is required.
• Assets and liabilities can matter regardless of whose name appears on them.
• Financial, non-financial, homemaker and parenting contributions may be relevant.
• Agreements should be formalised appropriately, not left as an informal promise.
• Time limits apply to court applications.

What goes into the property pool?

The parties identify real estate, bank accounts, investments, businesses, trusts, vehicles, personal property, superannuation, loans, tax liabilities and other resources. Values should be agreed where possible or supported by appropriate evidence or valuation.

What contributions are considered?

The history can include assets brought into the relationship, earnings, inheritances, gifts, improvements, business work, homemaking and care of children. Weight depends on the full relationship history and evidence.

What future circumstances may matter?

Relevant matters may include age, health, income, earning capacity, care of children, financial resources and other statutory considerations. This is not a mathematical calculator; individual advice is necessary.

How can an agreement be formalised?

Common pathways include consent orders or a complying financial agreement. Each has different legal requirements and consequences. A transfer of property may also require lender approval, refinancing, duty treatment and Landgate registration.

Time limits

Married parties generally have 12 months after divorce becomes final to commence property proceedings. De facto time limits differ and WA jurisdiction requires particular attention. Obtain advice early rather than relying on a general rule.

Read: Financial disclosure in property settlement.

Book a family-property consultation.

Sources

• Federal Circuit and Family Court — Dividing property and finances
• Federal Circuit and Family Court — Financial disclosure

General information only. Outcomes depend on the facts, evidence and applicable jurisdiction.