Is there a 70 30 divorce settlement Australia? Let’s find out.
A 70/30 divorce or property settlement means one person gets 70% of the property pool and the other gets 30% of the property pool. Read more about the 70/30 split here.
In Australia, divorce, while common, can be a messy and emotional experience. One of the hardest parts of the process is getting a property settlement that fairly and rationally divides assets and liabilities.
Under the Australian family law, there is no specific division when it comes to divorce settlements. However, the parties must always ensure that it is a fair and equitable division. This is when binding financial agreements come in. Parties must come to an agreement that will result in a just and equitable outcome.
Now, to guide you in processing your divorce settlement, this checklist can provide a summary of what you need to know. However, you must always consult a family lawyer who can guide you throughout this process.
70/30 Divorce Settlement Australia: The Basics
- No-fault divorce. Unlike many other countries, Australia is a “no-fault” divorce country. This means you don’t need to prove your spouse did something wrong to get a divorce. You just need to show you’ve been separated for at least 12 months.
- Division of property and assets. Australian law says marital assets and liabilities acquired during the marriage are generally split 50/50 regardless of who’s name is on them. This includes the family home and cars to bank accounts, investments, and superannuation.
Key Points of 70/30 Divorce Settlement Australia
- You need a formal agreement. The final division of assets and liabilities is documented in a formal agreement, often called a “consent order” or “binding financial agreement.” These agreements are legally binding and outline the property settlement.
- Negotiation and mediation. In most cases, couples will try to get a 70/30 divorce settlement in Australia through negotiation or mediation. These processes involve open communication and compromise to get an agreement that works for both.
- Get legal advice. While legal advice is not compulsory, it’s highly recommended to get the advice of an experienced family lawyer, especially if the finances are complex or there’s disagreement about the settlement.
70/30 Divorce Settlement Australia: The Law
The Family Law Act 1975 doesn’t mention or endorse 70/30 divorce settlement Australia. The legal basis for property division after separation under the Act, Section 79, is a just and equitable distribution of the “property pool.” Instead of fixed percentages, the law looks at individual circumstances through the following key factors in Section 75(2):
- Financial contributions. This includes monetary and non-monetary contributions, like childcare or managing the home, made by each spouse during the relationship.
- Future needs. The court considers each spouse’s age, health, income-earning capacity and any anticipated financial needs, especially for those caring for children.
- Pre-existing assets and liabilities. Financial assets and debts each spouse owned before the relationship are generally excluded from the property pool.
- Length of the relationship. Longer relationships may have more complex contributions and future needs, which may impact the distribution.
- Standard of living during the relationship. The court aims to keep the standard of living the same for both spouses after separation, considering what they had during the marriage.
- Fault of either party. If one spouse’s actions significantly contributed to the breakdown, the court may adjust the division, though “no-fault” divorces are common in Australia.
Ultimately, the court exercises judicial discretion based on these factors to decide what’s fair to split the property pool. While a 70/30 divorce settlement Australia is mathematically possible, it’s significant and requires strong justification through the factors
Divorce Settlement Australia: Checklist
To stay organized throughout the process, we recommend you prepare and keep extra copies of the following documents:
Essential Documents:
- Marriage certificate
- Birth certificates for any children
- Passports
- Bank statements (all accounts, including joint and individual)
- Superannuation statements for both parties
- Payslips and tax returns for the past few years
- Property titles and mortgage documents
- Insurance policies (life, health, car)
- Loan statements for any other debts
- Wills and powers of attorney
Additional Documents:
- Business records (if applicable)
- Investment statements
- Receipts for large purchases
- Evidence of pre-existing assets
- Any agreements or contracts related to finances
Financial Planning:
- Open your bank account if you don’t already have one.
- Review your income and expenses to create a budget.
- Update your insurance policies and beneficiaries.
- Research government benefits you may be eligible for.
Divorce Settlement Australia: Your Next Steps
How do you move forward from this big change? Ending a marriage in Australia, while tough, also marks the beginning of a new chapter. Moving forward after divorce requires acknowledging emotions, taking practical steps, and seeking support where needed.
1. Process Your Emotions.
Divorce is a big life change, and emotions like grief, anger, and confusion are totally normal. Let yourself feel and express these emotions in healthy ways, such as journaling, talking to a therapist, or connecting with supportive friends and family.
During this emotionally intense time, prioritise your well-being. Do things that nourish your mind, body, and soul, like exercise, time in nature, or hobbies.
2. Take Practical Steps.
Seek advice from a family lawyer specialising in divorce to understand your legal rights and responsibilities for financial settlements, child custody arrangements, and property division.
Also, you need to decide on living arrangements—whether to stay in your current home, find new accommodation, or negotiate shared custody.
3. Build a Support System.
Surround yourself with friends, family, and loved ones who offer emotional support and understanding. Join support groups or online communities for navigating divorce in Australia.
If needed, consider therapy to work through emotional challenges and develop coping mechanisms. Therapists can also help you communicate with your ex-partner, especially if there are children involved.
4. Focus on Personal Growth.
Finally, set new goals. Look ahead and set goals for yourself. This could be career aspirations, travel plans, personal development initiatives, or simply focusing on creating a happier and healthier life for yourself.
Remember, this is a general checklist, and your specific needs may require additional steps or financial resources. Adapt and tailor it to your situation. Stay informed, prioritise your well-being, and seek professional guidance when needed.
Get Expert Guidance from JB Solicitors
To make the process smooth and stress-free, seek legal advice from family lawyers at JB Solicitors. You can trust our experienced solicitors to get you the divorce settlement you deserve. Let us help you protect your rights and avoid complications.
Get legal advice now for your divorce settlements.
Last updated 14 March 2025
