Case Study 1
Case Study 2
Things to Consider
Items to Collect
Children and Separation
Children - 10 Things to Keep
Your Legal Preparation
Property Settlement - The 4 Step Process
Armstrong Legal has the expertise to guide you through the four step process involved in property settlement.
Decisions related to property settlement can at times be convoluted and stressful. Our Australian family law team can provide you with the legal guidance needed to navigate the family law system in a timely and cost effective manner.
1. The creation of an asset pool
All assets and liabilities of the relationship must be identified. This is inclusive of both personal and shared assets and liabilities.
- Liabilities can include: loans, mortgages or credit card balances.
- Assets can include: property, cars, boats, trailers or furniture.
An expert may be sought in certain situations when the value of assets cannot be agreed upon.
[It is important to note that ALL assets and liabilities must be declared.]
The Formula for Calculating the “Net Asset Pool”:
Total Assets – Total Liabilities = Net Asset Pool
Consideration of the four different kinds of contributions capable of being made by the parties.
Income, prize money, redundancy payments (etc)
The Court will also look money spent in the relationship if there are allegations of wastage. Wastage includes: gambling, drugs, prostitutes (etc)
Includes renovations or improvements to shared assets – such as the family home. The value of non-financial contributions is ascertained by the market rate.
Parenting contributions surrounding the care of children and parental responsibility will be a relevant consideration.
Domestic duties and household responsibilities are also relevant.
3. The future needs of the parties
What are the future needs of the partners to the former relationship?
What are the estimated costs of those future needs?
Some relevant factors include: ability to obtain employment in the future, their health and age, elements of parental responsibility, duties to care of others (etc)
4. Ensuring a just and equitable division of property
In making its final decision, the Court will consider the practical impact of property settlement. This may include consideration of issues such as superannuation – a deferred benefit which is otherwise not considered within the four step process.