Dividing Property, Assets, Pensions & Guide to Maintenance in Divorce Settlements
Reaching a financial settlement is often the most challenging aspect of a divorce. The court must assess the circumstances of each spouse and ensure that the outcome provides proper provision for each spouse and any dependent children.
It is important that you get legal advice from a solicitor who has expertise in this field of law.
Book a Consultation with Family Law Solicitor Michael Burns on +353-1-567 7343
or use the contact form here
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The Court’s Duty to Make Proper Provision
When making financial orders, the court has a constitutional duty to ensure that proper provision is made for both spouses and any dependent children. This assessment is highly individual and depends on a broad range of factors, including:
- The income, earning capacity and financial needs of each spouse.
- The available assets, pensions and liabilities.
- The standard of living enjoyed during the marriage.
- The role each spouse played, including non-financial contributions such as childcare.
- Ongoing responsibilities, health issues, or future requirements.
As every case is different, outcomes can vary widely.
Dividing the Marital Home and Property (The Family Home)
The family home usually forms the centrepiece of discussions around property division. It also benefits from specific legal protections, meaning it cannot be sold or transferred without proper consent or a court order.
Possible approaches include:
- One spouse remaining in the home, often where the children primarily live.
- A postponed sale, allowing the home to be sold at a later point (for example, when any dependent children reach adulthood).
- An immediate sale with the proceeds divided.
- A buy-out, where one spouse purchases the other spouse’s share.
*See our Family Law Guide to Marital Conveyancing & Division of Property here >>
Pension Adjustment Orders (PAO’s): Securing Your Financial Future
Pensions can be one of the most valuable assets in a marriage. To ensure fairness, the court can make a Pension Adjustment Order (PAO), which redirects a portion of one spouse’s pension benefits to the other.
The receiving spouse does not gain an immediate lump sum. Instead, the pension benefits are reallocated and paid when the pension becomes payable. This protects long-term financial security and helps balance retirement resources between the spouses.*
*See our Family Law Guide to Pension Adjustment Orders here>>
Spousal and Child Maintenance (How Needs Are Assessed)
Maintenance ensures that reasonable financial needs continue to be met after separation.
Spousal Maintenance
This may be awarded where one spouse has a lower income or lacks the means to meet their living costs.
The court looks at:
- Income, assets, and earning potential.
- Reasonable day-to-day expenses.
- Duration of the marriage and lifestyle during it.
- Childcare responsibilities and future prospects.
Maintenance may be periodic or a once-off lump sum.
Child Maintenance
Both parents have a legal obligation to support their dependent children. Payments are based on the child’s needs and each parent’s financial circumstances.
The Requirement for Full and Frank Disclosure
A fair financial settlement cannot be reached without full and frank disclosure. Both spouses must provide a complete picture of their finances – including income, savings, debts, pensions, and property. This is usually done through a Form 37A.
Failure to disclose information can seriously undermine a case and may result in court penalties, increased legal costs, or orders being revisited later on.
Get legal advice from Michael Burns of MB Solicitors who has expertise in this area of Family Law.
Use the Enquiry Form below – or phone Michael Burns on +353-1-567 7343.