If you’re separating and expecting to walk away with half of everything, you may be in for a surprise. Despite what many people believe, Australian family law doesn’t automatically split assets down the middle. In fact, research shows that most property settlements result in something other than an equal division — and that’s entirely by design.

Key Insights

• There’s no automatic 50/50 split in Australian property settlements
• Courts aim for a “just and equitable” outcome, not necessarily an equal one
• The majority of settlements result in divisions closer to 60/40
• Factors like contributions, future needs, and caring responsibilities influence the final split
• Common divisions range from 55/45 to 60/40, with some cases reaching 70/30

The 50/50 Myth – Where It Comes From

The assumption that everything gets split evenly is one of the most persistent misconceptions in family law. You’ll hear it at barbecues, from well-meaning friends, and even see it repeated online. However, Australian courts haven’t operated in this manner since 1984, when the High Court clarified that automatic equal division is not the basis in the Family Law Act 1975.

Under Section 79 of the Family Law Act 1975, courts must determine what is “just and equitable” based on your unique circumstances. That might mean 50/50. It could also mean 60/40, 55/45, or, in exceptional cases, 70/30. The key word is equitable, not equal.

How Courts Actually Decide Property Division

When property settlement lawyers help clients understand the process, they explain what’s known as the four-step approach. The Federal Circuit and Family Court of Australia uses this framework to work out who gets what.

Step 1: Identify and Value All Assets

Every asset and liability gets listed and valued, including the family home, superannuation, vehicles, savings, debts, even cryptocurrency. The court considers what exists now, not just what you had at the time of separation. If property values have increased or decreased since you separated, those changes matter.

Step 2: Assess Contributions

This is where things get interesting. The court examines both financial and non-financial contributions throughout your relationship. Financial contributions include wages earned, property brought into the relationship, inheritances received, and business assets built. Non-financial contributions are given equal weight, including raising children, managing the household, supporting your partner’s career advancement, and caring for elderly relatives.

A parent who stepped back from work to care for young children hasn’t contributed less than the working spouse. Australian law recognises these contributions as equally valuable.

Step 3: Consider Future Needs

The third step looks forward. What are each person’s future circumstances? The court considers age, health, income, and earning capacity, as well as whether you have primary care of children and what financial resources each person will have moving forward.

If one partner sacrificed career progression to raise a family and now has reduced earning capacity, that matters. If someone has ongoing health issues affecting their ability to work, that’s relevant. The recent changes to the Family Law Act in June 2025 also require courts to consider the economic impact of family violence on a person’s circumstances.

Step 4: Check the Final Division

Finally, the court steps back and asks: is this outcome just and equitable, given everything we know? Adjustments can be made at this stage to ensure neither party is unfairly advantaged or disadvantaged as they move forward independently.

What the Numbers Actually Show

While every case is different, research gives us insight into typical outcomes. Recent analysis suggests that common divisions include:

• 55/45 to 60/40 splits are the most frequent outcomes
• 50/50 splits do occur, particularly in shorter relationships where both parties contributed similarly and have comparable earning capacity
• 70/30 splits happen in exceptional circumstances—very short relationships where one party brought substantial assets in, or cases involving significant disparities in future needs

When Might You Actually Get 50/50?

Equal division isn’t off the table. It’s appropriate in certain situations. You might see a 50/50 split when both parties are retired after a long marriage, each person contributed relatively equally throughout the relationship, and future earning capacity is similar. It also happens in shorter relationships where assets were acquired jointly, there are no children, and both parties earn comparable incomes.

But if you’re the primary carer for young children with reduced earning capacity, or you brought significant assets into the relationship, or there’s a substantial income disparity, an equal split likely won’t reflect what’s fair in your circumstances.

Why This Approach Makes Sense

The flexible, case-by-case approach recognises that families don’t fit neat formulas. A couple married for 30 years with one stay-at-home parent faces different realities than two young professionals separating after three years. Someone who brought $500,000 into a two-year relationship shouldn’t necessarily walk away with only half of a $600,000 pool.

What matters is that you both have a fair foundation for financial independence after separation. That’s what “just and equitable” means in practice.

Getting Professional Guidance

Property settlement isn’t something you should navigate alone, especially when common assumptions turn out to be myths. Experienced family lawyers in Cairns can assess your specific situation and provide realistic expectations about potential outcomes.

They’ll also help you understand disclosure obligations (you must provide complete financial information), valuation requirements, and the best pathway forward, whether that’s negotiation, mediation, or court proceedings if an agreement can’t be reached.

Understanding your position early helps you make informed decisions and avoid costly mistakes. It also sets realistic expectations, which can reduce conflict and help both parties move forward more constructively.

If you’re facing separation and need clarity on what a fair property settlement looks like in your circumstances, speak with a lawyer in Cairns who specialises in family law. An experienced property lawyer can assess your contributions, evaluate future needs factors, and guide you towards an outcome that’s genuinely fair.