How Is Spousal Maintenance Calculated In Australia?

Gavel, Sound Block And Small Wooden Figures Of Family

Relationship breakdown carries various emotional and financial consequences. It might surprise you to learn that if your relationship ends, you might need to pay spousal maintenance. What is spousal maintenance, and how is it calculated? We’ve put together this helpful blog to give you all the information you need.

Understanding spousal maintenance and its entitlements

Spousal maintenance refers to the legal responsibility a person might have to support their spouse or partner following the breakdown of a marriage or de facto relationship. This support can be claimed regardless of gender.

Spousal maintenance is governed by the Family Law Act 1975. If a relationship breaks down and the Court finds the person seeking maintenance is unable to meet their own expenses, and the other party can reasonably assist them, they may issue a legal obligation for financial support to be provided.

Applying for spousal maintenance

If you’re considering applying for spousal maintenance, you can’t drag things out. If the particular relationship was a marriage, you must apply to the Court within 12 months of the finalisation of your divorce. If the relationship was de facto, you have two years following the date of your separation to make an application.

Calculating spousal maintenance

There is no definitive equation to determine how much support a person will receive through spousal maintenance. If the two parties can’t reach an agreement, the person seeking spousal maintenance can make an application to the Family Law Court. The Court will determine liability and payments after considering a range of factors, including:

  • Each party’s capacity to earn money
  • Each party’s financial resources, such as income or property
  • Either party’s responsibility for the primary care of a child
  • Either party’s obligations to support another person
  • Previous financial agreements made between both parties
  • The length of the relationship in question
  • Whether the relationship impacted either party’s earning capacity

 

The most crucial factor the Court will take into account will be the income and expenses of both parties involved.

As spousal maintenance support is determined on an individualised, case-by-case basis, there is no precise way of calculating how much support you might receive. Online spousal support calculators can offer rough estimates based on how much you earn, but it’s always best to obtain legal advice if you believe you’re entitled to or may need to contribute spousal maintenance payments.

With the help of a legal professional, you’ll be able to understand the factors involved and receive a fair estimate of how much you might need to pay or receive.

Paying or receiving spousal maintenance

If the Court has determined you’re liable to pay or receive spousal maintenance, you can do so in numerous ways, including:

  • One-off lump sum payments
  • Regular payments over a set length of time
  • Expense payments, including loan repayments, accommodation costs, vehicle expenses, or health insurance

Need assistance with spousal maintenance calculations? Talk to CBC Lawyers

Take the stress out of spousal maintenance applications or payments with Crosby Brosnan Creen Lawyers. Established in 1976 and based in Townsville, we’re a family-owned and operated team with a local heart. We proudly work with clients throughout North Queensland, unpacking and solving legal problems of every size and scope.

Our team comprises friendly, professional and experienced senior associates, associates, lawyers and paralegals who are all committed to excellence, affordable services, and the best results for our clients. Contact our approachable, problem-solving team today at (07) 4772 3644. You can also submit an online enquiry and one of our staff members will get back to you as soon as possible.