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ARTICLE · 15 JULY 2016

Paying expenses after separation

Anything you do or cease to do following separation potentially has far-reaching consequences for your final settlement.

AustraliaFamily and Matrimonial

Say you and your spouse/partner separate. There may or may not be children of the relationship. Prior to your separation either or both of you worked and your incomes were used to pay the family expenses. After separation you moved out. Who now pays the expenses you used to pay for the family?

Often the lower income earning party will expect that his/her expenses are paid by the higher income earning party, but this is not always possible as after separation, the reality is that parties now have 2 households to maintain with the same amount of income.

Each party should take steps immediately after separation to ensure that all his or her income is paid into a separate bank account to which only he or she has access to, and that any redraw or loan facilities cannot be used by the other party.

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