On average, women's financial position tends to decline more sharply after divorce than men's, and takes longer to recover. Understanding why this gap exists can help with planning realistically for the road ahead, rather than being caught off guard by it.
Why the impact tends to be uneven
Women are still more likely to have taken time out of paid work for caregiving, to work part-time, and to hold significantly less superannuation than their male partners by the time a relationship ends. Add the cost of establishing a second household, often while caring for children, and the financial strain can be substantial even when a property settlement is reasonably fair on paper.
Superannuation is part of the settlement
Superannuation can be split as part of a family law property settlement in Australia, the same as other assets, but it is easy to overlook because it is not accessible cash. If a settlement does not account for the gap in superannuation built up during the relationship, that gap can carry forward for decades, ultimately affecting retirement.
Practical steps to protect your position
- Get a clear picture of all assets and debts, including superannuation balances, before agreeing to a settlement
- Consider getting independent financial and legal advice rather than relying on an informal agreement
- Check what government support you may be eligible for during the transition, including Centrelink payments and rent assistance
- If financial abuse was part of the relationship, mention this to your lawyer or financial counsellor, since it can affect how a settlement is approached
Where to get help
- The National Debt Helpline (1800 007 007) provides free, independent financial counselling
- Legal Aid or a community legal centre can advise on family law property matters, particularly if cost is a barrier
- The Family Relationship Advice Line (1800 050 321) has general information on separation
How Nhanya Foundation can help
Nhanya Foundation supports women navigating separation with practical, everyday help and advocacy, and can help connect you with the right specialist services. If you would like to talk through your situation, contact us.
