When a couple separates, dividing assets can be a complex process, particularly when considering the contributions of each party to the relationship. Australian Family Law ensures that both financial and non-financial contributions are recognised in property settlements, with the aim of achieving a fair and just division.
Financial contributions refer to the direct and indirect payments made by either party during the relationship. These contributions may include:
- Income earned and spent on joint expenses
- Property purchased by either party before or during the relationship
- Superannuation
- Inheritance or financial gifts received by a party
Non-financial contributions, although not directly monetary, are equally important in the division of assets. These contributions can be harder to quantify but still play a crucial role in property settlements. Examples include:
- Homemaker responsibilities
- Parenting Responsibilities
- Property maintenance and renovations
While financial and non-financial contributions are central to property settlements, the Court also considers the impact of these contributions on the parties’ future needs. For instance, a party who has made significant non-financial contributions, such as primarily caring for the children, may be entitled to a larger share of the assets to compensate for the impact on their future earning capacity.
If you are considering a property settlement, it is important to seek legal guidance to ensure that your contributions are properly recognised. Our experienced family law team is here to assist you throughout the process. Contact us today on 1300 285 888 to arrange a free initial consultation.
