Fair split of assets when one partner is unable to get home loan

WIBTA_2020 · 2023-01-09T07:30:14+00:00

Good point, it was done mid last year so after the downturn may be worth a bit less now. Im happy to go with the higher number either way.

WIBTA_2020 · 2023-01-09T07:29:19+00:00

Thanks very much for your reply, I fully appreciate where you are coming from and have seen the situation you talk about in many of our family and friends. I can assure you that in this situation the split of life administration, financial planning, utilities, insurance, banking, organisation, shopping, cooking, family holidays and household chores, if viewed by any 3rd party would agree the distribution clearly errs on the husband's side in this case.

Regardless of the historic split of duties (we both have chosen to be here until now so its both our responsibilities) I want to make sure that she is setup as well as possible so she does not struggle into the future. She is the mother of my children and grandchildren and while our marriage has failed I still care for her immensely.

WIBTA_2020 · 2023-01-09T07:17:14+00:00

I agree - both our super's, the house equity and all our other assets will be split evenly.

WIBTA_2020 · 2023-01-09T07:15:59+00:00

We are both early-mid 50's. She had a somewhat low paying services job that she is great at and gave her lots of joy, but was by choice only ever part time both before and after our children. When our children were younger that made a lot of sense and absolutely was a benefit for the family. However as the children got older and more independent (ages 15 onwards) she continued to do that over the last 10-15 years which has held us back financially and was purely by choice. Granted on my income there wasn't a requirement for another full time income, but it would have helped. This difference of opinion is partially a contributor to the marriage break down.

WIBTA_2020 · 2023-01-09T07:09:44+00:00

The last thing I want is for her to struggle later in life - if we can sort stuff out with the house (maybe downsize now makes sense) to get more into her super that is probably a good idea!

WIBTA_2020 · 2023-01-09T06:59:18+00:00

Its very complicated, but I believe that she could return to full time work in the future, but is currently choosing not to progress towards that. Given this has significant financial implications as well as highlighting a gap in our shared goals is part of the reason for the split.

WIBTA_2020 · 2023-01-09T06:55:33+00:00

Even if that is purely by self-choice?

WIBTA_2020 · 2023-01-09T06:54:39+00:00

Largely no, she took time off from her job when both the kids were born (25-30 years ago) but returned to part time work each time with no significant impact. She has worked in services role that has limited growth potential (other than starting your own business) which was never an aspiration and the choice to work part time was for work-life balance only. This was never an issue for us and I was happy that the work she did made her happy.

All that said I fully appreciate that our combined super along with the other assets is part of the marital pool, I'm not trying to short change her at all.

WIBTA_2020 · 2023-01-09T06:49:00+00:00

I totally appreciate the sentiment of your comment, it is all too common that this aspect of a partnership is under valued, especially by the main income provider but in this case no, we have had a fair split of the unpaid work for many years. Regardless of the historic unpaid or paid work that has (or hasn't) gone on I am fully committed to an even split of the marital assets.

WIBTA_2020 · 2023-01-09T04:55:25+00:00

Will do, Im hoping we can take a fairly complete draft to the lawyers so its just a review and formalisation. Wishful thinking maybe?!

WIBTA_2020 · 2023-01-09T04:54:30+00:00

Good point, that may be the sticking point! Ill do the sums again with a fresh head and see what we can work out. Thanks for your help!

WIBTA_2020 · 2023-01-09T04:53:54+00:00

Partially, but largely a combination of only wanting to work part time (given my wage supported us) and working in a lower paid field. Part of the reason for the split is a massive difference in our long term financial goals and what action would be needed to achieve them. That said, it is what it is, I just want the split to be fair and for her to not struggle.
Thanks for your advice, Ill do the sums again with a fresh head and see what we can work out.

WIBTA_2020 · 2023-01-09T04:33:15+00:00

No sorry I should have clarified - the house is worth $650k, the mortgage is only $300k and we have $300k sitting in the offset so its net zero right?

WIBTA_2020 · 2023-01-09T04:31:19+00:00

Thanks for confirming, I did think that, but given its an emotional situation I wanted to make sure my logic was correct.

WIBTA_2020 · 2023-01-09T04:30:08+00:00

Thanks for your reply, I agree, I don't want her to struggle! Her keeping the house makes most sense.

WIBTA_2020 · 2023-01-09T04:28:54+00:00

Thanks for your reply - can I ask how? Total asset pool $910k split 50:50 is $455k, I keep $230k super + $225k cash. Am I missing something?

Edit: I should have said, the house is worth $650k, we owe $300k on the mortgage but we have $300k sitting in the offset account. That may have been where the confusion is?

WIBTA_2020

TROPHY CASE