VIC Divorce - How Does a Child Affect Property Settlement?

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2 April 2015
In case of divorce and property settlement, is the parent who keeps the child and provides for that child entitled to an additional percentage of the property settlement? If so, what would be that percentage? Thank you in advance.


Well-Known Member
23 July 2014
There is no set formula for property settlements as they are decided on individual circumstances, but the process the court follows is a four-step consideration procedure.

1. What's the total value of the asset pool?
2. What's the financial and non-financial contribution of each party?
3. What's the future needs of each party?
4. Is the settlement just and equitable?

Care arrangements for kids come into consideration at both steps 3 and 4.

At step 3, house keeping and caring for the family is considered a non-financial contribution.

At step 4, the residency of the kids is considered a future need.

Each of these may increase the percentage of entitlement, but there may be other mitigating circumstances that increase the percentage in the other party's favour, so giving an estimate of percentage outcomes is an impossible task.

For example, if one party needs to care for the kids in future, they may go from 50/50 to 55/45, but if the other party has fewer prospects of employment after being the primary carer for a number of years during the kids infancy, that percentage might return to 50/50 or move in the other direction to 45/55.

It's impossible to know, but I hope this helps you understand how property settlements are decided in terms of kids care arrangements.