How does the Court calculate family law property settlement entitlements?

Your friend from the BBQ got 70% but you have heard others get 50/50. Every case is different and the Court works out the entitlements of each person based on the circumstances of their relationship.

To briefly describe the process, lawyers and the Court take into account:-

1. The assets and liabilities of the parties

2. The contributions each party made to the relationship

3. Each party’s future needs

4. The outcome overall in terms of practically who gets what type of asset and whether the outcome is just and equitable

The contributions to the relationship of the parties are considered at the start of the relationship, during the relationship, and after separation.

The types of contributions of the parties that are considered are:

• Financial: Including wages, lump sum payments, property brought into the relationship

• Non-financial: Including improvement of existing property and renovations

• Homemaking and parenting

In cases of long relationships, where one party has been the primary earner and the other the primary homemaker and parent, those contributions are regarded as equal.

In short relationships, the Court pays more attention to the assets contributed to the relationship by each party.

The types of future needs of the parties that are considered include:-

• The earning capacity and income of parties

• The care needs and cost of raising children

• The medical needs of the parties

Once the Court or lawyers decide on the percentage entitlement of each party they also then consider the practical effect the percentage division would produce. For example, whether the parties have a home or the ability to buy one, or the amount of superannuation each party will have.

Assessing entitlements for property settlement can be extremely complex, particularly where inheritances, business structures, or other complicated circumstances exist.

Talk to our expert family lawyers for advice on how to get the best out of your family law property settlement. Contact our Ipswich office for a free initial discussion to protect your interests.