Superannuation Splitting as part of Property Settlement

Splitting your Superannuation with your former Partner 

If you have superannuation then it may be important for you to know when you can do a Superannuation Split to give some of that superannuation to your former spouse / partner / husband / wife, as part of doing your property settlement .

You will also, need to know how that superannuation split will occur and actually works.

Superannuation is a financial resource and forms part of the property that should be dealt with by the parties as part of their property settlement.

Superannuation may be kept by one party or the Court can make an Order to split the Superannuation between the parties.

Is when you Separated important to be able to do a Superannuation Split?

Since 2002 married couples have been able to get a Court Order (including a Consent Order) for the Superannuation of one Spouse be split, so as to transfer part of one spouse’s superannuation into a superannuation fund in the name of the other spouse.

Former De Facto Partners are also able to apply for superannuation splitting orders, either in a Consent Order, or as part of their Property Settlement Application,  if they separated after:

 

 

• 1 March 2009 for residents of Queensland, New South Wales, Australian Capital Territory, Victoria, Tasmania and the Northern Territory;
• 1 July 2010 for residents of South Australia.

How does the Superannuation Split actually work?

Superannuation can only be kept or split between the parties.

Superannuation cannot be converted to cash other than in accordance with the normal rules that apply to the Superannuation interest, for example, being able to access it after retirement age or in some hardship cases.

If you do a Superannuation Split as part of your property settlement, the amount of Superannuation of one party will be reduced by an amount chose by you or the Court, and that amount added to the Superannuation of the other party.

 

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