Dividing assets during a divorce is rarely straightforward. While some couples reach an agreement amicably, others find the process emotionally and financially complex. One of the most common questions during divorce proceedings is, “How much am I entitled to?” The truth is, there is no fixed formula. Every case is different and what you walk away with depends on a wide range of legal, financial and personal factors.
In this post, we explain how courts in England and Wales decide financial settlements, what assets are included and how you can begin to estimate your own entitlement. Whether you are just beginning the divorce process or preparing for financial disclosure, understanding how settlements are calculated is key to protecting your future.
Is everything split fifty fifty?
Many people assume that divorce settlements result in a straight fifty fifty split of assets. In reality, that is not always the case. While equal division is often the starting point, the law focuses on fairness rather than strict equality. That means a judge may decide that one person should receive more than the other, especially if there are children involved or if one partner has significantly greater financial needs.
The aim is to reach a fair outcome, which can look different depending on the circumstances of your marriage. If, for example, one partner stayed at home to raise children while the other worked, that contribution to the family is treated just as seriously as income generation. Similarly, if one spouse has a higher earning capacity or more financial security, the court may award a larger share to the other to ensure they are properly supported.
The key takeaway is this – there is no automatic entitlement to half. Each settlement is shaped by the details of your life together and your needs moving forward.
What does the court consider when dividing assets?
Courts use a number of legal principles to decide who gets what in a divorce. These are set out in the Matrimonial Causes Act and include both financial and non financial considerations. Some of the main factors include:
- The length of the marriage
- The age and health of each party
- Each person’s current income and earning potential
- Financial and domestic contributions made during the relationship
- The standard of living enjoyed while married
- The needs of any children, particularly dependent minors
Both parties are expected to give a full and honest account of their finances through a process called financial disclosure. This includes bank statements, property valuations, pension reports and evidence of any debts or liabilities. Without this information, a fair settlement cannot be reached.
What types of assets are included?
A divorce settlement will typically include all assets held by both spouses, whether jointly or in their sole name. This includes:
- The family home and any other property
- Savings and investments
- Pensions
- Business interests
- Vehicles
- Personal possessions of value
- Debts or other financial liabilities
Even if an asset was acquired before the marriage, it may still be included if it contributed to the couple’s financial position or lifestyle. The same applies to inheritances and gifts. While these are often treated separately, they can be brought into the settlement if needed to meet one party’s financial needs – especially when children are involved.
Hidden or undisclosed assets can cause serious problems during divorce. If one party is found to be dishonest about their finances, the court can reopen the settlement later. Full transparency is not only a legal requirement but also the best way to ensure a fair and lasting agreement.
Related: What To Do If Your Ex-Partner Delays Financial Settlement
How do you reach a financial agreement?
Most couples try to resolve financial matters without going to court. This can be done through direct negotiation, solicitor involvement or mediation. If an agreement is reached, it can be turned into a legally binding consent order, which the court will approve if it considers the terms fair.
If you cannot agree, you may need to apply to the court for a financial order. A judge will then consider all evidence and decide how assets should be divided. This can be a lengthy and costly process, so it is generally seen as a last resort.
In any case, it is essential to get legal advice from a specialist family solicitor. They can help you understand what you may be entitled to, gather the right evidence and negotiate on your behalf.
Use our divorce settlement calculator
If you want a clearer idea of what a fair settlement might look like in your situation, try our free divorce calculator. It is designed to help you estimate your entitlement based on your financial circumstances and the factors used by the courts.
At Osbourne Pinner Solicitors, we understand how stressful financial uncertainty can be. Our experienced divorce lawyers are here to support you every step of the way, whether you are dividing complex assets or seeking a clean break.
We offer a free 30-minute consultation to discuss your case. Contact us today via the form below, call 0203 983 5080 or email [email protected] to speak with a family solicitor in Harrow, Canary Wharf, Piccadilly Circus or Manchester.
