Frequently asked questions
The value of the assets and liabilities of a relationship owned by either party that is to be divided between the two people.
The amount in dollar figures that is left over after all of the debts of a relationship (regardless of whose name it is owed) is deducted from the total amount of assets owned by both people.
Assets which cannot be divided between the parties by a Family Court in Australia due to the fact that the asset is either located outside of Australia or the person receives a benefit from something like a trust.
Assets are items of property to be divided between two people who were in a de facto relationship or married who have separated. Assets do not only include real estate (land or houses/units), but include all items of value such as cars, bank accounts, motorbikes, boats, jet skis, caravans, trailers, jewellery, furniture, superannuation, shares, managed funds or investments, businesses or money owing to you. Assets that are taken into account can be in either person’s name, joint names or held in another name that are under either person’s control such as a company or trust. Whether assets have been acquired before, during or after your relationship, they can still form part of the asset pool that is to be divided between you.
Whether it is your intention to divide the Superannuation or not, it still must be included in the settlement agreement. The court may reject your agreement if all Superannuation accounts are not included.
The owner of an asset is the person who holds the legal title of the asset. For example, if person A has a bank account in their name then they are the legal owner of the bank account. Remember though any asset’s value can still be divided between the people and must be included into the asset pool. Where there is no evidence of legal title, for example, furniture when you are still in the same house, then you can choose to list it as a joint asset.
The value of the assets should be the current market value of the assets not the insurance value. The value is at the date of the agreement. For ease of estimating your furniture, use a second-hand dealer or garage sale prices to establish the value.
Furniture is defined every asset or belonging that you have in the house, garage and garden shed. You do not have to list every single item (unless you want to). If there is a dispute as to how the furniture is to be divided then we recommend that you divide it one of two ways.
1. One person divides the furniture into two lists. The second person gets first choice at the list to pick. Or;
2. A person selects one piece of furniture to retain then the second person selects a piece of furniture and this continues until all furniture is divided.
1. One person divides the furniture into two lists. The second person gets first choice at the list to pick. Or;
2. A person selects one piece of furniture to retain then the second person selects a piece of furniture and this continues until all furniture is divided.
The owner of the asset is not the person who controls the business but rather the person who owns the shares or interest. The owner of a Pty Ltd Company is the name of the person who owns the shares and NOT the director. In a partnership it is the partner who owns the interest. A sole director/shareholder will be the same person. The owner of a trust is NOT the trustee but rather is the beneficiaries to the trust.
Businesses can be difficult to value. You can ask your accountant for an informal valuation or you can obtain a formal valuation. If your business holds minimal assets and is solely dependent on the work of one person then it is possible that the business will have a very small or nil value (eg. Mortgage broker giving advice or a brick layer).
A Pty Ltd business is a company. It will have an ACN and an ABN. It will have a director who controls the company but have shareholders who may be a different person to the director.
A Trust is a special entity. It will be created usually via a trust deed. A trust will have at least one trustee who is the person who controls the trust. It must also have at least one or more beneficiaries. Beneficiaries are the people who receive the benefit of the trust. A trustee can also be a beneficiary. A normal trust that is used is a Discretionary Family Trust where the parents control the trust, but it is for the benefit of the entire family including children.
A Partnership will have at least two people who own the business. It is set up under a partnership agreement. The partnership will have an ABN.
A Sole Trader is a person who works for themselves eg. A contractor. They will have an ABN.
A Trust is a special entity. It will be created usually via a trust deed. A trust will have at least one trustee who is the person who controls the trust. It must also have at least one or more beneficiaries. Beneficiaries are the people who receive the benefit of the trust. A trustee can also be a beneficiary. A normal trust that is used is a Discretionary Family Trust where the parents control the trust, but it is for the benefit of the entire family including children.
A Partnership will have at least two people who own the business. It is set up under a partnership agreement. The partnership will have an ABN.
A Sole Trader is a person who works for themselves eg. A contractor. They will have an ABN.
If you have an accumulation account (one which pays you a lump sum) then your Superannuation statement will be an accurate reflection of the Superannuation. Super statements only get sent out on average once a year, so it is important to get an up to date estimate if additional Super payments have been added since the statement or there has been a large economic change (eg. Recession or COVID-19).
If you have a defined benefit fund, MSBS or DFRDB superannuation account you will need to get your superannuation valued by a valuer who specialises in Superannuation valuations.
If you have a defined benefit fund, MSBS or DFRDB superannuation account you will need to get your superannuation valued by a valuer who specialises in Superannuation valuations.
There are a few different types of Superannuation. Each will have unique attributes. The most common types are accumulation accounts. There are also defined benefit funds, MSBS or DFRDB (Military Super) or SMSF (Self-managed super funds).
A defined benefit superannuation fund is a fund which pays the person a regular pension until a period of time instead of a one off lump sum payment. Common defined benefit superannuation funds can include QSuper, PPS, AMP. It is possible to have a mix of an accumulation account and also a defined benefit account. MSBS and DFRB Super is a special class of defined benefit super. If you are not sure what type of fund you have, look at your Superannuation statement or ask your fund directly.
An accumulation account is the most common type of superannuation account. When the term of your fund comes to end you are paid out your superannuation in one lump sum as opposed to a regular pension. Check your super statement to determine the type of fund you have or ask your fund provider.
SMSF means a Self-managed superannuation fund. A self-managed fund will require a special trust to be created and the participants in the fund control how the funds are invested. It is common that a SMSF owns property or shares.
If you have other superannuation that have not been included in any of the above categories, then simply include them under this heading.
A defined benefit superannuation fund is a fund which pays the person a regular pension until a period of time instead of a one off lump sum payment. Common defined benefit superannuation funds can include QSuper, PPS, AMP. It is possible to have a mix of an accumulation account and also a defined benefit account. MSBS and DFRB Super is a special class of defined benefit super. If you are not sure what type of fund you have, look at your Superannuation statement or ask your fund directly.
An accumulation account is the most common type of superannuation account. When the term of your fund comes to end you are paid out your superannuation in one lump sum as opposed to a regular pension. Check your super statement to determine the type of fund you have or ask your fund provider.
SMSF means a Self-managed superannuation fund. A self-managed fund will require a special trust to be created and the participants in the fund control how the funds are invested. It is common that a SMSF owns property or shares.
If you have other superannuation that have not been included in any of the above categories, then simply include them under this heading.
Debts include all debts of the relationship regardless of whether it is in one person’s name or both people or a business owned by the people. The amount of the debt is determined as the amount owing at the date of the agreement. Note if someone creates a debt after the couple has separated for something other than to pay relationship debts then this is not usually included as a debt of the relationship.
The loans taken out to purchase these types of assets are usually, either a car loan or a personal loan. Car loans are only used to purchase a vehicle and the lender can register a charge over the vehicle so if you default in making any payments they can take possession or sell the vehicle, like when a mortgage is registered over a house. Personal loans can be used for many different purposes and can be secured over these types of assets but more commonly they are unsecured loans. There are searches you can do online through the Personal Property Securities Register to find out if there is a loan secured against your vehicle, motorbike, caravan, jet ski, boat etc.
A Hire Purchase is an agreement whereby you essentially are hiring these types of assets for a period of time by making regular instalments and you can own the asset at the end of the agreement if all the repayments are made. Often, you will need to make an additional lump sum payment at the end known as a balloon payment. Ownership of the asset is not transferred to the purchaser until all payments are made and usually the lender will register a charge over the asset.
A Hire Purchase is an agreement whereby you essentially are hiring these types of assets for a period of time by making regular instalments and you can own the asset at the end of the agreement if all the repayments are made. Often, you will need to make an additional lump sum payment at the end known as a balloon payment. Ownership of the asset is not transferred to the purchaser until all payments are made and usually the lender will register a charge over the asset.
Normally the owner of the credit card debt is the primary card holder. This is the person who is sent the credit card statement for payment each month. Even if there are two people who can use the credit card, normally it is only the primary card holder who must make the payment to the bank.
The process of dividing up the assets and liabilities between two people in a relationship and formalising their agreement.
If the property is owned by one person with a third person (for example a brother) then list the value of the share owned, for example if the property is worth $400,000 and person A owns 50% with their brother, you would enter $200,000 as the asset’s value.
The value of the property should be the current market value of the property as at the date of the agreement not the date of separation. To assist to establish the value we recommend either obtaining three market appraisals from a real estate agent in your area or otherwise have an official joint property valuation performed.
Each home loan must be entered individually as they will all need to be dealt with separately. When adding a property asset with multiple loans just follow the steps to easily do this. If you are not sure how many loans you have on your property, we recommend doing a title search or looking at your loan documents or talking to your bank.
If it decided that you may need to sell a property, then additional fees will be incurred as a result of having to sell the property. This normally includes real estate fees, legal fees, auctioneer costs and property styling fees. This allows you to include these extra costs into the debt component of the negotiation. Normally these fees are estimated.
A method of owning property whereby if one person dies their share in the property would be divided in accordance with their will.
A method of owning property whereby if one person dies the other person would be automatically entitled to the deceased person’s interest upon their death.
This document is the actual worded court order that you wish the Court to make and bind both people in relation to parenting arrangements. If accepted this document will be returned with a court stamp which will make it a formal order and then it must be complied with by both parents otherwise penalties including imprisonment can be imposed.
This document is the actual worded court order that you wish the Court to make and bind both people in relation to financial division. If accepted this document will be returned with a court stamp which will make it a formal order and then it must be complied with by both people otherwise penalties including imprisonment can be imposed.
This document tells the court about your family and/or financial situation and how you wish to divide your assets and/or organise parenting arrangements.
If dealing with asset division it lists the value and details of all your assets and debts. It details a basic history of each person’s financial positions and outlines how much each person is likely to receive.
If dealing with parenting, then it lists details about the children and their schooling and personal attributes that may be relevant to considering the children’s best interests.
If dealing with asset division it lists the value and details of all your assets and debts. It details a basic history of each person’s financial positions and outlines how much each person is likely to receive.
If dealing with parenting, then it lists details about the children and their schooling and personal attributes that may be relevant to considering the children’s best interests.
Once you have come to an agreement you can make your agreement binding on both people by completing the Court documents. For asset division you will need two documents; firstly an application for Consent Orders (the form that tells the court about your assets and how much you are dividing between yourselves) and secondly a Minutes of Consent (the actual written agreement that you want the court to make enforceable).
Arbitration is an informal court process where an independent qualified person (the Arbitrator) is appointed to act in the role of a Judge and make decisions about the issues in dispute. The Arbitrator’s decision is binding just as if it was made by a Judge in Court.
They are the terms of an agreement between two people that is reduced to writing and lodged in the Court for determination. Sometimes Consent Orders can be filed without court proceedings on foot, and neither party has to physically attend Court. Other times Court proceedings may already be on foot but the parties agree to terms outside of the Court and then physically give them to the judge for consideration.
Yes you can! You can amend the document to suit your needs as many times as you like. There is no limit to how many times you can amend the document.
If you follow the complete process and have the documents signed and sent to the court then the documents (as long as the court approves them) the documents will be binding on both parties.
It is very simple. Just click on the ‘Try now for free’ button at the top of the screen. Provide your name, select a username, password and the other person’s details and click create. This will then provide you with a step by step guide to navigate through the negotiation platform.
To use the negotiation platform costs absolutely nothing. It is free. The only charges you will incur is when you choose to create the Orders (documents for Court). Don’t worry you will be told the cost each time so you won’t have any hidden surprises.
Just sign up and then you will be taken to a new screen which will give access to our various platforms and features for you to use.
That’s ok. You can fill out the asset table and move directly on to creating the documents if you wish. Having the other person’s email simply allows both people to negotiate in an easier way.
This website in no way provides any legal advice and is no a substitute for legal advice. As such we always recommend that you obtain legal advice to ensure you are aware of your rights but if you don’t wish to then you do not have to do so.
The legal process of formally dissolving a marriage. This process solely relates to the dissolution of a marriage and does not deal with the dividing up of assets between the parties.
