Superannuation can be treated as part of the property settlement, even though neither party can access it until retirement age. It’s one of the most commonly overlooked assets in a separation, simply because it doesn’t feel like “real” money you can use right now.
A super split can be achieved through a court order or a properly drafted agreement, and it effectively transfers a portion of one party’s super balance into the other’s super account. It doesn’t convert to cash, it stays within the superannuation system, but it can significantly affect the overall fairness of a settlement, particularly in longer relationships where one partner has built up substantially more super than the other.
If you’ve been out of the workforce, working part time, or earning less due to caring for children, your super balance is often smaller than it would otherwise be, and this is a legitimate factor the Court considers. Don’t let a settlement conversation skip over superannuation just because it isn’t sitting in a bank account.
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