Most people assume that once they separate, anything they earn or buy belongs entirely to them. Under family law in Australia, that is not always the case. What each person acquires after separation can still be relevant to a property settlement, and the rules are more nuanced than many expect.
The Family Law Act gives the Federal Circuit and Family Court of Australia the power to make orders about property whenever it was acquired, before, during or after the relationship. The starting point is to identify everything both parties own, owe and are entitled to, including what has come in since separation. How much weight is given to post-separation assets depends on the circumstances of each case, with no formula that applies.
Our Springfield team helps clients across Greater Springfield and Ipswich with property settlements after separation.
Here is how family law generally treats assets acquired after separation in Queensland, and what the time limits mean.
Key takeaways
- Assets acquired after separation can still be relevant to a property settlement.
- There is no formula for dividing property under family law in Australia.
- Time limits apply to when a property application can be made to the Court.
This article is general information only and is not legal advice. Every situation is different, and you should speak with a solicitor about your own circumstances.
Can assets acquired after separation be included in a property settlement in Queensland?
Assets acquired after separation can be included in a property settlement, according to the Federal Circuit and Family Court of Australia. The Court identifies all property and liabilities of both parties, and the law does not automatically exclude what either person acquired after the relationship ended. Property held individually, jointly, in a family company or through a trust may all be relevant.
Legal Aid Queensland confirms that a property settlement may include things a person got before or after the relationship. Whose name appears on a document, such as a title or a bank account, may not determine the outcome. What matters is identifying the full picture of both parties' assets, debts and financial resources, then weighing each person's contributions and future circumstances.
In practice, a post-separation asset may be treated differently depending on when it was acquired, how it was funded and what contributions each party made. Legal Aid Queensland also notes that it may be possible for contributions made after separation to be kept out of the asset pool or placed in a separate pool, though this is described as complex territory.
What does family law in Australia actually look at in a property settlement?
The Federal Circuit and Family Court of Australia sets out a process that applies to every property settlement, whether the parties agree or go to court. It does not use a fixed formula.
The Court identifies and values all property and debts:
- › All assets, liabilities and financial resources of both parties are identified, including property held through companies, trusts or partnerships.
- › The Court takes the market value at the time the case goes to court, not at the time of separation, according to Legal Aid Queensland.
- › An anticipated inheritance is a financial resource, not property, and cannot be divided but can be taken into account.
The Court then assesses contributions:
- › Financial contributions: income, property brought in, earnings and savings.
- › Indirect financial contributions: gifts and inheritances received from family members.
- › Non-financial contributions: running a business, renovating a property or managing investments.
- › Contributions to family welfare: caring for children, housework and homemaking.
The Court also considers each party's current and future circumstances, including income, earning capacity, age, health, care of children and the length of the relationship, under the Family Law Act.
What must be disclosed after separation?
Every party to a property settlement has a duty of disclosure that starts before the case begins and continues until it is finalised, according to the Federal Circuit and Family Court of Australia.
What full disclosure covers:
- › All sources of earnings, income, property and other financial resources, including those held through companies, trusts or partnerships.
- › Any property disposed of, whether by sale, transfer, assignment or gift, in the year before separation or since the final separation, where that disposal may affect a claim.
- › The three most recent tax returns and notices of assessment, and for any company, trust or partnership in which a party has an interest, the three most recent financial statements.
Where the Court finds that a party failed to disclose an asset, it may adjust the settlement in favour of the other party, according to Legal Aid New South Wales. The Family Law Act also requires disclosure of property wastage, meaning property or financial resources that were intentionally or recklessly reduced or dissipated.
When does this apply differently to married and de facto couples?
The same general property settlement process applies to both married and de facto couples under the Family Law Act, but the time limits differ significantly.
Time limits to apply to the Court:
- › Married couples: within 12 months of the divorce order taking effect, according to the Federal Circuit and Family Court of Australia.
- › De facto couples: within two years of the breakdown of the relationship, according to the Federal Circuit and Family Court of Australia.
- › Out of time: an application made after the relevant limit generally requires the Court's leave, which is not always granted.
An important distinction is that property settlement applications can be made before a divorce is finalised. A divorce order does not resolve property, financial or maintenance matters: those are separate proceedings, and the time limit for married couples runs from when the divorce order takes effect, not from the date of separation.
"There is no formula used to divide property and finances in a separation. The Federal Circuit and Family Court of Australia decides what is just and equitable based on the full circumstances of each case, including what each person has acquired or contributed since the relationship ended."
Jade Kickbusch, Principal, Brookwater Legal
How does a solicitor help with a property settlement involving post-separation assets in Queensland?
Working through a property settlement that involves assets acquired after separation is one of the more complex areas of family law in Australia. A solicitor identifies everything that should be disclosed, advises on how post-separation contributions and acquisitions are generally treated, and helps reach an agreement or prepare for court.
Step 1: Talk to us
Get in touch and we will explain how property settlements generally work and what the process involves for your situation.
Step 2: Gather and disclose financial information
We work through what each party owns, owes and has acquired since separation, and help prepare the financial disclosure documents the Court requires, including tax returns, financial statements and details of any post-separation assets.
Step 3: Reach an agreement or prepare an application
Where both parties can agree, we prepare consent orders or a financial agreement to formalise the outcome. Where agreement is not reached, we prepare and file an application with the Federal Circuit and Family Court of Australia.
Step 4: Finalise and implement the orders
Once orders are made, we assist with registering any transfer of property, arranging a release of mortgage where needed, and ensuring every step of the settlement is completed correctly.
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When does post-separation conduct change the outcome?
The Family Law Act requires each party to disclose any property disposal made in the year before separation or since the final separation that may affect, defeat or deplete a claim. Where the Court finds that property or financial resources were intentionally or recklessly wasted after separation, it takes that wastage into account.
Legal Aid New South Wales notes that if the Court finds a party failed to disclose an asset, it may adjust the settlement in favour of the other party where there is enough evidence. This principle applies to post-separation acquisitions as much as it does to assets held at the time the relationship ended. A solicitor can advise on what the duty of disclosure covers and what steps are available where a party suspects the other is not being open.
What does this process not cover in a Queensland property settlement?
Understanding the limits of a property settlement is as important as knowing what it can achieve.
A property settlement does not cover:
- › Child support: the time limits for property applications do not apply to child support and child maintenance, according to the Federal Circuit and Family Court of Australia. Child support is calculated separately.
- › Parenting arrangements: where children live and spend time is decided under Part VII of the Family Law Act, and is an entirely separate process from a property settlement.
- › Informal agreements: an informal arrangement about property is not legally binding, according to Legal Aid Queensland. Only a financial agreement or consent orders made by the Court have legal force.
- › Western Australia: the Federal Circuit and Family Court of Australia has no jurisdiction in Western Australia for de facto property matters. Different rules apply there.
Frequently Asked Questions
Are assets I buy after separation included in a property settlement in Queensland?
They can be, according to the Federal Circuit and Family Court of Australia. The Court identifies all property of both parties whenever it was acquired, and how much weight is given to a post-separation asset depends on the circumstances of each case.
How long do married couples have to apply for a property settlement in Queensland?
Married couples generally have 12 months from the date the divorce order takes effect to apply for property orders, according to the Federal Circuit and Family Court of Australia. Applications made after that generally require the Court's leave.
How long do de facto couples have to apply for a property settlement in Queensland?
Two years from the breakdown of the relationship, according to the Federal Circuit and Family Court of Australia. Applications made after that generally require the Court's leave, which is not automatic.
Does a divorce order finalise the property settlement in Queensland?
No. Granting a divorce does not decide any issue about property, finances or maintenance, according to the Federal Circuit and Family Court of Australia. Property proceedings are entirely separate and must be started within the relevant time limit.
What happens if one party hides or spends assets after separation in a Queensland property settlement?
The Family Law Act requires each party to disclose all assets and any disposals made since separation. If the Court finds assets were not disclosed or were recklessly wasted, it can adjust the settlement in favour of the other party, according to Legal Aid New South Wales.
Do I need a solicitor for a property settlement involving post-separation assets in Springfield or Ipswich QLD?
Legal advice is not required before reaching an agreement, but the Federal Circuit and Family Court of Australia recommends independent legal advice about the effect of any proposed orders. A solicitor from our family law team can explain how post-separation assets are generally treated and help make sure nothing is missed in the settlement.
Is an informal agreement about post-separation assets legally binding in Queensland?
No. An informal agreement is not legally binding, according to Legal Aid Queensland. Only consent orders made by the Federal Circuit and Family Court of Australia, or a financial agreement made under the Family Law Act, have legal force and can be enforced.
Your Next Steps
Getting clarity on what happens to assets acquired after separation is one of the most practical things a person can do early in the process. The longer a settlement is left without formalising it, the more complex the picture can become, particularly as each party's financial position continues to change. For families across Ipswich and Greater Springfield, understanding where the time limits fall and what full disclosure actually requires can make the difference between a settlement that holds and one that creates further disputes.
If you're working through a property settlement after separation, the right advice early makes the process simpler. Contact the Brookwater Legal team or call (07) 3437 8555 to talk through where you stand.
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External Resources
- Federal Circuit and Family Court of Australia - Finances and property overview
- Federal Circuit and Family Court of Australia - Financial or property: We cannot agree
- Legal Aid Queensland - Dividing your property fairly
- Legal Aid Queensland - Property and financial agreements
- Legal Aid New South Wales - How the court decides property settlement cases
Brookwater Legal · This article contains general information only and does not constitute legal advice. It does not take into account your individual circumstances. You should obtain legal advice about your own situation before acting on anything in this article. Liability limited by a scheme approved under Professional Standards Legislation.
