Property Settlement After Separation | NSW Family Law

Property Settlement After Separation

When a marriage or de facto relationship ends, the parties may need to decide how their property, superannuation, liabilities and other financial interests will be divided.

A property settlement can often be negotiated without going to court. Where agreement cannot be reached, an application can be made to the family law courts for orders dealing with property and financial matters.

What Property Is Considered?

The first step is generally to identify the property and liabilities of both parties.

Depending on the circumstances, this can include:

• the family home and other real estate;
• bank accounts and investments;
• business interests;
• shares and managed investments;
• motor vehicles and other significant assets;
• superannuation interests;
• trust or company interests where relevant; and
• mortgages, loans, credit cards and other liabilities.

Contributions During the Relationship

The contributions made by each party are then considered.

These can include financial contributions, non-financial contributions, contributions as a homemaker or parent, and contributions to the welfare of the family.

Property owned before the relationship, inheritances, gifts and other significant financial contributions may also be relevant depending on the circumstances.

Current and Future Circumstances

The parties’ current and future circumstances are also considered when determining an appropriate property settlement.

Relevant matters can include age, health, income and earning capacity, financial resources, responsibility for caring for children and future housing needs.

Family violence may also be relevant where it has had an economic effect on a party or on their ability to make contributions.

Changes to the Family Law Act applying from 10 June 2025 expressly recognise the economic effect of family violence when property and financial matters are determined. The reforms also place the duty of financial disclosure for property and financial matters in the Family Law Act.

Financial Disclosure

Full and frank financial disclosure is an important part of resolving a property settlement.

This can involve providing documents concerning assets, liabilities, income, superannuation, companies, trusts and other financial interests.

Can a Property Settlement Be Reached Without Court?

Yes. Many separating couples reach agreement through negotiation, mediation or other dispute resolution processes without requiring a final court hearing.

Where agreement is reached, it is important to document the outcome appropriately so that the arrangement is legally effective and provides certainty for both parties.

When Court Proceedings May Be Necessary

Court proceedings may be necessary where the parties cannot agree, there is a dispute about property or disclosure, urgent orders are required, or other circumstances make negotiated resolution impractical.

The court has broad powers to make orders altering property interests where it is just and equitable to do so.

Getting Advice Early

Early legal advice can help identify the relevant assets and liabilities, disclosure obligations, possible settlement options and the steps available to resolve the matter.

Learn more about our Family Law services.

Learn more about Alternative Dispute Resolution.

Speak to Russell Kelly & Associates

Russell Kelly & Associates can provide advice about property settlements, financial matters and dispute resolution following separation.

Contact us to discuss your circumstances.

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This information is general in nature and should not be relied upon as legal advice. Property settlement outcomes depend on the individual circumstances and the law applying at the relevant time.