In Australia, initial contributions are the assets (i.e. money, property, superannuation, businesses etc) that a person brings into a marriage or de facto relationship.
Examples of initial contributions include:
- Owning a house before the relationship.
- Substantial savings or investments.
- A business.
- Significant superannuation.
Family courts do not simply reimburse a person for the exact value they brought into the relationship. Instead, the court looks at all contributions made throughout the relationship and determines a division that is “just and equitable.”
For example, if you owned a house with $500,000 equity before the relationship, you do not automatically receive an extra $500,000 before the remaining assets are divided. The court considers:
- The size of the initial contribution.
- The length of the relationship.
- Contributions made during the relationship.
- Homemaker and parenting contributions.
- Future needs factors.
The length of the relationship is a significant factor that is considered. In shorter relationships (often less than 5 years), initial contributions tend to carry more weight. If one person entered the relationship owning most of the assets, the court may give substantial recognition to that contribution.
In longer relationships, the significance of initial contributions often diminishes. The court generally takes a broader view and recognises that both parties may have contributed to maintaining, improving, or supporting the family over many years. Homemaker and parenting contributions are treated as important as financial contributions.
Since June 2025, amendments to the Family Law Act allow courts to consider the impact of family violence when assessing contributions in property settlements, where relevant. This can affect how contributions are evaluated in some cases.
This article was published on 09/07/26 and the information is valid as at the date of publishing. This article is general in nature and is not and should not be considered or relied on as legal advice. Meehans Solicitors is not responsible in the event this information is relied upon by the reader in the absence of specific legal advice.