There are two kinds of properties that Australian law recognizes; marital and separate property. Marital property is the income and assets a couple acquire throughout their marriage. These assets can include home, cars, businesses, furniture, investment, art, or retirement accounts (401k), and they are subject to equitable distribution.
Irrespective of if the property title is in one party’s name, it’s marital property and will be equitably distributed.
Separate property includes any of the following:
The assets of each spouse before the marriage
Inheritance or gifts that one spouse receives
Property acquired after separation
Holdings in the protection of a prenuptial agreement
Certain veteran benefits
In Sydney CBD, the top family law specialist firms Sydney omits separate property from the equitable distribution process. However, if the property’s value increases during the marriage, the increase becomes a marital asset.
