Where there is an income disparity between separated parties, the party with nil or low income may be able to claim spousal maintenance from the higher income earner.
To be eligible for spousal maintenance, the low income earner must be unable to support themselves by reason of either:
- having the care or control of children of the marriage who are under 18 years of age;
- by reason of age or physical or mental incapacity for appropriate gainful employment; or
- for any other adequate reason (with the adequacy of the reason to be decided by the Court).
To be entitled to spousal maintenance, the following will need to be shown by the lower income earning party:
- they have a shortfall from their income (excluding any government benefits) to meet their reasonable financial needs; and
- the high income earner has a capacity to meet that need from their income by way of a surplus of income over their reasonable financial needs.
The Court also takes into account the future need factors.
Spousal maintenance can either be paid on a regular basis or as a lump sum payment.
If the Court orders spousal maintenance to be paid, it can be later varied if circumstances change.
It is important to seek legal advice before seeking spousal maintenance from an ex-partner. If you think you may be liable to pay spousal maintenance, an experienced lawyer can discuss your options.
Contact us to discuss your entitlement to spousal maintenance or whether you may be liable to pay spousal maintenance.
