Divorce settlement division is a confusing topic and causes fights among divorcing partners.
A 70/30 divorce settlement means that one party of the marriage will receive 70% of the total value of the asset pool. The other party will receive 30%.
Contrary to popular belief, the distribution of assets between divorced couples is not 50/50.
Many people falsely assume that when couples file for a divorce, they are entitled to half of each other’s properties.
However, this is only sometimes the case.
The Family Court always aims to make the fairest decision possible when separating divorce settlements. s79 of the Family Law Act gives the power to the courts to determine how a divorce settlement must be portioned.
In some cases, a 70/30 divorce settlement might seem appropriate.
But how does the court decide who receives the 70% share and who’s left with the remaining 30%?
How Common Is a 70/30 Divorce Settlement?
A 70/30 divorce settlement in Australia may come about in several ways.
70/30 Split Example
- First example: A court may determine that the contributions of the parties were 50/50 and that the wife should receive a 20% adjustment for her future needs, being that she has 3 children and has a much lower earning capacity than the husband. This will result in a 70/30 split.
- Second example: A court may determine that one party has contributed much more to the relationship than the other. A husband came into a relationship with significantly more assets and a much stronger financial position than the wife. After a 5 year relationship, the court could determine that the contributions of the husband were at 75%, however, the future needs of the wife warranted a 5% adjustment on behalf of the wife, resulting in an overall 70/30 divorce settlement.
Is a 70/30 Split Just and Equitable?
As the final step, the court will evaluate if their decision was equitable or fair between both parties.
The court will consider whether a 70/30 divorce settlement is just and equitable, and may make necessary adjustments if they believe or were presented with viable evidence supporting that their decision was unfair.
Many people think they have no control over what they can retain during this process, but the truth is you can protect your assets to a certain degree. One legal tool you can utilize is a binding financial agreement, such as a prenuptial agreement.
If you are separating from your former spouse amicably, you can agree on what assets and debts you will divide among yourselves.
An experienced lawyer can help you identify the best way to proceed with a 70/30 divorce settlement. They can also help open up various legal options you never thought of.
If you’re entering a divorce settlement adjustment, it’s beneficial to have the legal guidance of an experienced family lawyer.
Key Factors That Can Lead to a 70/30 Property Split
A property division that results in a 70/30 outcome typically arises when one party has significantly higher contributions or markedly greater future needs.
Courts look at both financial and non-financial inputs throughout the relationship. This can include homemaking duties, parenting responsibilities, and initial contributions such as pre-marital assets or inheritances.
Future needs also play a role, especially where one party has limited income-earning capacity, ongoing health issues, or the primary care of children.
The 70/30 division is not based on a fixed formula but rather a careful assessment of fairness after all contributions and future requirements are weighed.
When a Binding Financial Agreement Might Help
While a 70/30 split can be court-determined, couples can reduce uncertainty by entering into a binding financial agreement.
These agreements, when properly executed, allow both parties to agree in advance on how property should be divided if separation occurs.
This can offer clarity and reduce the emotional and financial cost of disputes.
However, these agreements are only effective if both parties receive independent legal advice and the agreement complies with all legal formalities.
They are particularly useful where there is a significant imbalance in financial power or future prospects.
Practical Tips for Managing a 70/30 Division
If you are involved in a divorce settlement where a 70/30 split is being considered, preparation is key.
Keep thorough records of contributions throughout the relationship, including receipts, titles, and evidence of care arrangements.
Consider your future needs and gather documentation such as income statements, health records, and parenting responsibilities.
While the court assesses fairness, your ability to present a clear and well-supported case can impact the outcome.
Legal advice can also help identify whether the proposed division reflects your contributions and needs accurately, or if further consideration may be warranted.
Finding Clarity in Unbalanced Settlements
A 70/30 divorce settlement may appear unfair at first glance, but context matters.
Each relationship has its own complexities, and the courts aim to recognise both past efforts and future hardships when making decisions.
Whether you are concerned about protecting your financial position or seeking recognition for your caregiving role, understanding the process helps you approach it with confidence and clarity.
Need Personalised Guidance on Property Division?
Are you unsure whether a 70/30 division is appropriate for your situation? Justice Family Lawyers has helped hundreds of clients untangle property disputes with practical and tailored advice.
We take the time to understand your unique circumstances and help you assess what outcomes may be possible.
Our experienced property settlement lawyers are here to support you with strategic insights and a clear explanation of your options.
Contact us today to book your confidential consultation and take the first step toward clarity in your separation.
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Principal of Justice Family Lawyers, Hayder specialises in complex parenting and property family law matters. He is based in Sydney and holds a Bachelor of Law and Bachelor of Communications from UTS.
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