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Property Settlement

Contributions in Property Settlement: A Deep Dive

Financial, non-financial, and homemaker contributions. How courts assess what each party contributed to the asset pool.

Splitifi Team5 November 20249 min read

What Are Contributions?

In property settlement, the court assesses each party's contributions to the relationship. This determines their share of the asset pool.

Types of Contributions

Financial Contributions

Direct financial inputs:

  • Income and wages
  • Sale of assets brought into the relationship
  • Gifts and inheritances received
  • Redundancy payouts
  • Investment returns

    Non-Financial Contributions

    Contributions that enhance assets:

  • Renovations and improvements
  • Working in a family business
  • Managing investments
  • Developing property

    Homemaker Contributions

    Looking after the home and family:

  • Housework
  • Cooking, cleaning, laundry
  • Managing household finances
  • Organising the household

    Parent Contributions

    Caring for children:

  • Day-to-day care
  • Taking children to activities
  • School involvement
  • Health and medical care

    How Courts Assess Contributions

    Whole-of-Relationship View

    Courts look at the entire relationship, not individual transactions.

    Equal Value

    The law recognises that:

  • Homemaker contributions = financial contributions
  • Parent contributions = financial contributions

    Someone earning income contributes, but so does someone enabling the other to work by managing home and children.

    Initial Contributions

    What each party brought in matters, but...

    Long Relationships

    The longer the relationship, the less weight initial contributions typically carry. Assets become "merged" over time.

    Short Relationships

    In shorter relationships, initial contributions carry more weight.

    Example Scenarios

    Long Marriage, Traditional Roles

    Situation: 25-year marriage. Husband worked; wife stayed home with children.

    Likely outcome: Close to 50/50 contribution split. Both contributed equally - just differently.

    Short Relationship, Significant Pre-Existing Assets

    Situation: 3-year relationship. One party owned a $1M house before meeting.

    Likely outcome: The pre-existing asset owner gets significant credit for that initial contribution.

    Inheritance Mid-Relationship

    Situation: 15-year marriage. Wife inherited $200,000 in year 10.

    Likely outcome: Wife gets some credit, but it's weighed against overall contributions.

    Documenting Your Contributions

    Keep Records Of:

    - What you brought in initially

  • Financial contributions during the relationship
  • Non-financial contributions
  • Major purchases and who funded them

    Why It Matters

    When negotiating or in court, you'll need to demonstrate your contributions.

    Future Needs vs Contributions

    Contributions aren't the whole picture. After assessing contributions, courts consider "future needs" factors that may adjust the split.

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