Your Family Law Property Settlement
The Four Step Process in your Family Law Property Settlement
Without any doubt one of the most stressful life events to go through is the breakdown of a marriage or de facto relationship and the division of property. In all property settlements there is a four step process which is followed:
- Ascertaining the net asset pool. Full disclosure must be given by both parties as to all assets and liabilities whether joint or personal and values assigned to each item. Once a full list of assets and liabilities is prepared the net asset pool can be calculated being the value of total assets less total liabilities.
- Assessment of each party’s contribution to the relationship. This involves identifying as a percentage how much each party has contributed during the relationship including direct and indirect financial and non-financial contributions as well as contributions to the welfare of the family including contributions as homemaker and parent. Financial contributions are items such as wages, how much each party brought into the relationship, inheritances, lottery wins and any redundancy payments. Non-financial contributions are those that have added value to the asset pool; eg renovating the family home; a non-financial contribution such as this can be valued at the amount it would have cost if a third party had been engaged to carry out the work. Regarding the value of homemaker contributions whilst […]






